Finance
POS Operators Kicked Against CBN Withdrawal Policy
Nigeria does not have the infrastructure to run a cashless society given the size of cash transactions done daily.
Point of Sale (POS) operators in Nigeria under the umbrella of the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) have kicked against the new CBN policy which pegs withdrawal on POS to N20,000 daily.
Investors King earlier reported that the Central Bank of Nigeria (CBN) plans to limit daily withdrawals for both POS and ATMs to N20,000 daily and N100,000 per week.
The policy which was announced in a circular sent to commercial banks yesterday also restricted cash withdrawals from over-the-counter, Automated Teller Machines (ATMs) to N100,000 and N500,000 per week for individuals and corporate organisations, respectively.
Similarly, the memo directed commercial banks to load only N200 and lower denominations into their ATMs
While commenting on the new policy, AMMBAN President, Olojo Victor stated that the new policy is capable of sending members of the association out of business.
“They want to send us out of business. We are against this. It is counter-productive. It does not represent what the CBN initially stood for in terms of financial inclusion. This is not driving us forward” Olojo lamented.
He wondered how an average Nigerian will be able to cope with the new policy, stating that not many Nigerians can transact without the use of cash.
“We don’t have the technological infrastructure to support this policy. Nigerians have not been sensitised.
“There is no alternative and you are taking out cash. You are running a cash-dominant economy as we speak.
“Cash still remains king whether we like it or not. Go to the average market we still have more cash transactions than PoS and suddenly you want to seal cash without bringing alternatives and education and sensitising Nigerians on how the alternatives work.
“This will not fly. It is not suitable. It is a good idea but not at the right time,” he concluded.
Meanwhile, the president of the Bank Customers Association of Nigeria, BCAN, Dr. Uju Ogubunka, commended the CBN on the policy.
He, however, noted that the policy would be difficult to implement owing to some issues such as broadband connection and sensitisation among others.