Lagos, Jan. 20, 2025 (Naija247news) – Experts have praised the Federal Government’s decision to impose a N1.35 billion fine on nine deposit banks for failing to ensure sufficient cash availability at Automated Teller Machines (ATMs) during the holiday season.
Thank you for reading this post, don't forget to subscribe!Dr. Uju Ogubunka, former Executive Secretary of the Chartered Institute of Bankers of Nigeria (CIBN), called the sanction timely and noted it would serve as a deterrent to other banks. He emphasized that such penalties are essential to ensuring financial inclusion, particularly as the Central Bank of Nigeria (CBN) enhances its policies to improve the reach of banking services.
Similarly, Mr. Chris Nemedia, former Director of Research at CBN, backed the fines, stating that banks must ensure money circulates properly within the system and avoid hoarding cash or diverting it to Point of Sale (PoS) operators. He called the action by the CBN an appropriate response to the issue of cash shortages.
The CBN’s enforcement action came after spot checks revealed that several banks failed to comply with cash distribution guidelines. The fines, amounting to N150 million each, will be directly debited from the banks’ accounts.
