There are indications that the Cashless policy introduced nationwide in April 1st 2016 and subsequently suspended by CBN on Thursday 20th of April may have been suspended as a result of cash shortage in the system.
Banks have been facing acute shortage of cash for ATM machines as a result of inability of customers to deposit cash enough for bank to use on their ATMs without being charged also the interbank rate has also gone up significantly since the reintroduction of the Cashless policy
The Apex bank on Thursday issued a circular suspending its earlier directive on the implementation of cashless policy. In the circular released on Friday, the apex bank instructed banks to revert to old charges and refund customers who had been debited.
CBN had earlier announced new charges on deposit and withdrawals above a threshold of N500,000 for individuals and N3,000,000 for corporate customers.
The apex bank had directed banks to charge 5% and 10% for deposits and withdrawals above N40m in the corporate category.
The bank had fixed 1.5% and 2% for deposits ranging from N500,000 and N1 million in the individual category.
But in the circular signed by Dipo Fatokun, director, banking and payments system department, CBN said the existing policy before the announcement of the new policy shall remain in place in Lagos, Ogun, Kano, Abia, Anambra, Rivers and Abuja.
“You will recall that a directive was issued on the nationwide implementation of the cashless policy vide our circulars with reference numbers BPS/DIR/GEN/CIR/04/001 dated February 21 and BPS/DIR/GEN/CIR/04/002 dated March 16,” the circular read.
“Please note that the new withdrawal and deposit processing fee charges above the threshold, as contained in the circulars referenced above, are hereby suspended until further notice. The position of the policy shall now revert to the status quo ante.”
The old charges to be reverted to 3% processing fee for withdrawals above N500,000 in the individual category and 5% for withdrawals above N3 million.
“The new policy already applied effective April 1, 2017 as contained in the circulars in reference above should be reversed and the old charges be applied. All necessary refunds should be made accordingly.”