GTBank Suspends International Transaction on Naira Card Amid Dollar Scarcity

Guaranty Trust Bank (GTBank) has joined the growing list of Nigerian banks that have suspended dollar transactions on their naira debit cards.

The bank made this known in a statement to its customers on Thursday. 

According to the bank, this suspension will come into effect from December 31, 2022, as the bank’s naira debit MasterCard will no longer support international online and Point of Sale transactions on such cards. 

However, the bank clarified that its dollar cards will still be supporting international transactions on all merchant channels, Investors King learnt.

The message read, “Dear customer, we write to inform you that you will no longer be able to use your Naira Mastercard for international online and POS transactions effective 31st December 2022. Kindly note that you can use your GTBank dollar card for all your international spending requirements.”

The bank however added that its dollar card allows ATM withdrawal of $1,000 daily or the equivalent in the transaction’s local currency and has no limit to international PoS or online transactions.

Investors King understands that this development is not the first time financial institutions are reducing spending limits or suspending international transactions on their cards. 

Recall that in 2021, most naira debit cards were enabled for international transactions to the tune of $100 per month. 

In March 2022, Zenith Bank and the United Bank for Africa (UBA) reduced the international spending limit on their naira cards from $100 to $20 a month.

Similarly, in July 2022, Standard Chartered Bank suspended international transactions on its naira visa debit card. 

Therefore, It is believed that the reduction or suspension of international transactions on naira debit cards is a result of forex scarcity which grossly hit the Nigerian market in 2022. 

After the reduction or suspension, many Nigerians have been struggling to use their naira cards to pay on international music platforms such as Apple Music or to pay for online courses on platforms such as Coursera.