The Central Bank of Nigeria has raised the weekly limit on cash withdrawals, allowing individuals to take up to N500,000. Also the weekly cash withdrawal limit for Corporate organizations has also been increased to N5,000,000.
“The maximum weekly limit for cash withdrawal across all channels by individuals and corporate organisations shall be N500,000.00 and N5,000,000.00 respectively,” the apex bank said in a circular issued on Wednesday signed by its Director of Banking Supervision, Haruna Mustafa.
According to the central bank, the new rule will go into effect on January 9, 2023, after receiving response from interested parties following the initial notification on December 6, 2022.
On December 6, 2022, the CBN issued a directive mandating that all Deposit Money Banks (DMOs) and other financial institutions limit weekly OTC cash withdrawals by individuals and businesses to N100,000 and N500,000, respectively.
It also limited ATMs to N200 denominations and set the daily withdrawal limit at N20,000.
The CBN claimed the new policy followed President Muhammadu Buhari’s November 23, 2022 announcement of the new N200, N500, and N1,000 notes.
Millions of Nigerians and National Assembly members protested the directive. Politicians argued the measure targeted opposition parties ahead of the 2023 general elections, while PoS operators warned it would cripple their operations and cost them job.
The top bank stated in a letter to all DMBS and Other Financial Institutions Payment Service Banks (PSB), Primary Mortgage Banks (PMB), Microfinance Banks (MFBs), Mobile Money Operators (MMOs), and Agents) that it was reviewing the policy based on feedback it received from stakeholders.
