“Suspend ATM Charges Hike” – House Of Reps Tell CBN

The House of Representatives has urged the Central Bank of Nigeria (CBN) to suspend the recent increase in Automated Teller Machine (ATM) transaction fees due to the country’s current economic challenges.

On February 10, 2025, the CBN announced a new policy imposing charges on customers who use ATMs belonging to other banks.

Under this policy, withdrawals from a customer’s own bank’s ATM remain free. However, withdrawing ₦20,000 from another bank’s ATM within the bank’s premises now attracts a ₦100 charge.

If the withdrawal is made at an ATM located outside the bank—such as in malls or marketplaces—the charge increases to ₦100 plus an additional ₦500 surcharge.

During Tuesday’s plenary session, the House passed a resolution calling for the suspension of these new charges.

The motion, sponsored by Marcus Onobun, who represents Esan Central/Esan West/Igueben Federal Constituency in Edo State, expressed concerns over the financial burden the policy places on Nigerians.

Onobun argued that citizens are already struggling with rising inflation, high fuel prices, increased electricity tariffs, and multiple banking fees, all of which are reducing disposable income and worsening economic hardship.

He also pointed out that imposing additional ATM withdrawal charges could discourage low-income earners from using banking services, which contradicts the CBN’s goal of financial inclusion.

The lawmaker further criticized the banking sector for continuously making large profits while adding extra charges without significant improvements in service quality or infrastructure.

He said, “Are already grappling with multiple economic hardships, including high inflation, increased fuel prices, electricity tariff hike, and numerous banking and service charges that significantly reduce disposable income and negatively impact their welfare.

“We are worried that the imposition of additional ATM withdrawal charges will further limit the financial inclusion of Nigerians by discouraging low-income earners from accessing banking services, thereby contradicting the CBN’s financial inclusion agenda.

“The banking sector has continued to record significant profits, imposing further charges on consumers without corresponding improvements in service delivery or infrastructure is unjustifiable.”

Speaker Tajudeen Abbas, who presided over the session, put the motion to a vote, and it was overwhelmingly supported by lawmakers.

The House has now called on the CBN to suspend the policy until further discussions are held with relevant banking and financial committees.

KanyiDaily recalls that the House of Representatives Committee reviewing Nigeria’s 1999 Constitution recently suggested creating 31 new states.