CBN Imposes Clean Money Withdrawal

 

The Central Bank of Nigeria has imposed clean money withdrawal limits on people and organizations, which will be enforced from January 9, 2023. The highest financial institution announced this to all Deposit Money Banks (DMBs) and other financial institutions (OFIs), signed by the Director of the Banking Supervision Department of CBN, Mr Haruna Mustafa. 

The memo stated that only 200 and other lower denominations should be loaded into their bank machines. Every individual will only be permitted to make a withdrawal of 100,000 naira per week, while organizations can still make up to 500,000 naira. This applies to using over-the-counter, point-of-sale (POS) machines, or automated teller machines- ATM. Third-party cheques above N50,000 would not be eligible for payment over the counter, while limits of N10 million on clearing cheques still subsist, contrary to popular belief.

However, there is an exemption that allows up to N5m for individuals and N10m for corporate organisations once a month with fairly certain requirements. Withdrawals above the limits stated above would attract processing fees of 5 per cent and 10 per cent, respectively.