On Wednesday, the Organised Private Sector (OPS) strongly opposed the Central Bank of Nigeria’s decision to impose limits on withdrawals from Point-of-Sale (POS) agents, arguing that the apex bank’s move is out of touch with reality.
The CBN introduced a daily withdrawal limit of N100,000 per individual customer at POS agents as part of new measures to promote the cashless policy in Nigeria.
The directive, issued in a circular dated December 17, 2024, and addressed to Deposit Money Banks, Microfinance Banks, Mobile Money Operators, and Super-Agents, mandates immediate compliance from all stakeholders.
Signed by Oladimeji Taiwo on behalf of the Director of the Payments System Management Department at the CBN, the circular outlines key measures to establish uniform operational standards, reduce fraud, and encourage the use of electronic payment systems in agency banking operations.
The directive mandates that POS agents ensure individual customer withdrawals do not exceed N100,000 daily.
Additionally, agents are limited to a total cash-out of N1.2 million per day, while customers are allowed a maximum cash withdrawal of N500,000 per week.
The circular specifies, “ALL principals of agents are required to comply with the following directives immediately:
“Issuers must set a weekly cash withdrawal limit (cash-out) of N500,000 per customer (across all channels); Ensure that all agent banking terminals have a daily maximum transaction cash-out limit of N100,000 per customer; Ensure that each agent’s daily cumulative cash-out does not exceed N1,200,000.”
To ensure accountability, the CBN has mandated that all agency banking transactions must be conducted exclusively through float accounts maintained with the principal institutions.
The apex bank also directed that agent banking services be separated from other merchant activities, with agents required to use the approved Agent Code 6010 for transactions.
Also, all agent banking terminals must be connected to the Payments Terminal Service Aggregator, and daily transaction reports, including withdrawal limits and float account balances, must be electronically submitted to the Nigerian Inter-Bank Settlement System using a reporting template provided by the CBN.
The circular emphasised that principals of agent banking operations must monitor accounts linked to agents’ Bank Verification Numbers to detect any unauthorised activities outside the designated float accounts.
It further reiterated that principals would be held fully responsible for the actions and omissions of their agents in relation to banking services.
To ensure compliance, the CBN announced plans to conduct periodic oversight and impromptu backend configuration checks.
