Just A month after the announcement of the weekly cash withdrawal limit of $50, the Central Bank of Nigeria revised the policy on December 21. Individuals will be able to withdraw up to $1,120 per week starting from January 9, 2023. The processing fees for exceeding the revised limits are 3% and 5% for individuals and legal entities respectively.
CBN Promotes Digital Currency Adoption
The Central Bank of Nigeria (CBN) announced that individual bank customers will be allowed to withdraw up to $1120 (N500,000) per week, up from the $50 limit. The CBN revealed that corporate organizations may withdraw up to $11,200 from their accounts. This is nearly ten times more than the previous limit.
In a circular addressed to financial institution heads, the CBN also stated that it had decided to reconsider the cash withdrawal limits “based on feedback received from interested parties.” The bank acknowledged the importance of cash in rural and underserved communities, but remains focused on transitioning to a cashless society.
“The CBN recognizes the vital role that cash plays in supporting rural and underserved communities and will ensure an inclusive approach as it implements the transition to a cashless society,” The statement said.
Withdrawal Fees for Exceeding the Revised Limits
As previously reported by Bitcoin.com News, the Nigerian Central Bank was introducing new banknotes and restricting cash withdrawals. The new notes went into circulation on December 15 as part of the CBN’s efforts to encourage the adoption of digital currencies.
In its latest circular, the CBN stated that processing fees will be assessed to individuals and corporations who wish to withdraw funds that exceed these limits. Furthermore, these withdrawals will only be processed if the customer presents various documents, including a letter signed by the CEO of the financial institution authorizing the withdrawal.
Get a weekly update by signing up for our email newsletter African Get the latest news straight to your inbox
What are your thoughts? Let us know your thoughts in the comments below.
Image credit: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is only for informational purposes. It is not an offer or solicitation to buy or sell or a recommendation of any product, company, or service. Bitcoin.com is not a provider of investment, tax, legal, or accounting advice. Neither the company nor the author is responsible for any damage or loss resulting from or in connection to the use of this content, goods or service.