CBN Sets N100,000 Daily Limit On POS Withdrawals

The Central Bank of Nigeria (CBN) has announced a new daily cash withdrawal limit of N100,000 per customer for transactions through Point-of-Sale (POS) agents.

In a circular sent to deposit money banks, microfinance banks, mobile money operators, and super-agents, the CBN explained that this measure supports its drive toward promoting a cashless economy.

The directive, titled “Cash-out limits for agent banking transactions,” outlined specific guidelines for compliance.

“In view of the above, all principals of agents are to comply with the following directives immediately: Issuers shall set a cash withdrawal limit (cash-out) per customer (regardless of channel) to N500,000.00 per week.

“Ensure that all agent banking terminals are set to a daily maximum transaction cash-out limit of N100,000.00 per customer, and ensure that each agent’s daily cumulative cash-out limit shall not exceed N1,200,000.00,” it said.

The CBN also mandated that agent banking services must remain distinct from merchant activities, adding that all agents are required to use the designated Agent Code 6010 for their operations.

“Ensure that agency banking activities are consummated exclusively through agent float accounts maintained with the principals, monitor accounts associated with the agents’ BVN(S) with a view to identifying agent banking activities which may be conducted outside the designated float account(s).

“Ensure that all agent terminals are connected to a PTSA and ensure that all daily transactions per agent, including withdrawals, limits of transactions and balances in the float accounts of each agent, are sent electronically to NIBSS as a report to the CBN. The template of this report will be sent to principals,” it added.

The CBN emphasized that principals would be held accountable for any violations or errors by their agents regarding agent banking services.

The apex bank also plans to conduct oversight checks, including unannounced inspections, to ensure compliance.

It added that non-compliance with these directives will attract penalties, including fines or administrative sanctions.

KanyiDaily recalls that the Central Bank of Nigeria (CBN) recently fined ₦1 billion each to Moniepoint and OPay during the second quarter of 2024 as part of its intensified oversight of fintech companies.