The Central Bank of Nigeria (CBN) has imposed a cumulative fine of ₦1.35 billion on nine Deposit Money Banks (DMBs) for failing to comply with cash distribution guidelines during the festive period.
Each bank was penalized ₦150 million after spot checks revealed their non-compliance with ATM cash dispensing requirements.
The affected banks include Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc.
The move underscores the CBN's commitment to ensuring cash availability for Nigerians.
Confirming the development, the acting Director of Corporate Communications at the CBN, Mrs. Hakama Sidi Ali, stated that the fines would be directly debited from the accounts of the defaulting banks with the apex bank.
"The CBN will not hesitate to impose further sanctions on any institution found violating its cash circulation guidelines," she said.
Mrs. Ali emphasized that the CBN's monitoring efforts would continue, with investigations aimed at exposing cash hoarding and rationing practices at bank branches and by Point-of-Sale (POS) operators.
"The Central Bank is working with security agencies to crack down on illegal cash sales and operational violations, including enforcing the daily cumulative withdrawal limit of ₦1.2 million for POS operators," she added.
The enforcement action came on the heels of repeated warnings from the CBN to financial institutions to ensure seamless cash availability, particularly during periods of high demand.