Senate panel grills CBN’s Deputy Governors on cash withdrawal limit policy

Ilesanmi AdekanbiDecember 9, 2022

2 minutes read

The Senate Committee on Banking, Insurance and other Financial Institutions on Friday took two Deputy Governors of the Central Bank of Nigeria (CBN) to task on the new policy of the apex bank limiting cash withdrawals to N100,000 for an individual and N500,000 for companies per week.

The Deputy Governor of CBN on Financial System Stability, Mrs Aishat Ahmad and Deputy Governor of Corporate Services, Edward Lametek Adamu appeared before the panel for screening following their nomination for re-appointment by President Muhammadu Buhari.

When asked about the raison d’etre for the new policy, the Deputy Governor of CBN on Financial System Stability, Mrs Aishat Ahmad said the Cashless Policy was introduced in 2012 during former President Goodluck Jonathan’s administration and extended to Abuja and six other states in 2013.

She said the cashless policy being fully implemented by CBN at the moment is not new, as required steps in that direction, were taken in 2012 with Lagos State as a pilot scheme and Abuja and Six other states in 2013.

She explained that though full implementation of the policy has not been carried out by CBN since then, its introduction then has brought a lot of transformation into the banking and payment system of the country.

Mrs Ahmad said: “Distinguished Chairman of this committee and members, I’m happy for the opportunity given to make presentations on the planned N100,000 withdrawal limit for individuals and N500,000 for Corporate Bodies per week, beginning from 9th January 2023, in line with the cashless policy introduced in 2012.

“Based on information available to CBN, the time for full implementation of the policy with a proposed limit on cash withdrawals per week is now.

“The required infrastructure for its implementation in terms of financial access point system, mobile money, e-Naira etc, are available across the 774 local government councils in the country.

“All the fears and worries being expressed by Nigerians on the planned limit on cash withdrawal policy are seriously being taken care of as nobody or section of Nigerians, will be left out.

“In the past, banking transactions in Nigeria were limited to bank branches alone as the only means, which has now expanded into multiple electronic platforms as well as geometric increase in the number of agents from 88,000 to 1.4million.”

She however said that the apex bank is flexible and will be ready to accommodate opinions that won’t make the policy strenuous to any category of Nigerians during implementation.

After her presentation, the Committee chaired by Senator Uba Sani (APC – Kaduna Central), gave the two nominees ‘take a bow and go’ treatment.

The motion was moved by the Chief Whip of the Senate, Senator Orji Uzor Kalu and seconded by Senator Danjuma Goje.

Sani in his remarks said: “With the presentation made by the Deputy Governor of CBN on Financial System Stability, Aisha Ndanusa Ahmad on the planned limit on cash withdrawal, the required information on the merits of the policy has been given and will be communicated to the Senate in plenary through our report.

“The two Deputy Governors having earlier been screened before serving their first tenure need not throw a rigorous process again as unanimously agreed by members of the Committee.

“They should therefore take a bow and go,” he ruled.