Central Bank Of Nigeria (CBN) Vows To Sanction Banks, PoS Operators Colluding To Cause Naira Scarcity

The Central Bank of Nigeria (CBN) has warned against collusion between Deposit Money Banks (DMBs) and Point-Of-Sale (PoS) operators, describing such collusion as capable of affecting Nigeria’s progress.

CBN

In a press statement signed and released by Sidi Ali, Hakama (Mrs.) Ag. Director of Corporate Communications, the apex bank said it had received several complaints over alleged conspiracy between some Deposit Money Banks (DMBs) and Point-Of-Sale (POS) operators to deliberately make naira notes scarce in the market, particularly during this festive session.

The apex court described such action as inappropriate and capable of affecting the country’s economic progress.

The statement reads: “The attention of the Central Bank of Nigeria (CBN) has been drawn to alleged cases of collusion between some Deposit Money Banks (DMBs) and Point-Of-Sale (POS) operators affecting the availability of cash and disrupting the seamless circulation of the Naira.

“The CBN frowns at such inappropriate actions by certain individuals and is investigating the reported cases capable of undermining the smooth running of the economy.

“The CBN has, therefore, warned banks and PoS operators to desist from such activities as relevant sanctions shall be meted out to those found wanting.”

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“Meanwhile, members of the public are encouraged to use alternative payment channels as well as report any case of unauthorized activities, such as capping and hoarding, by banks or PoS agents to the CBN branch in their locations or via the link attached to address complaints and inquiries on the subject,” the statement added.

KOKO TV NG earlier reported the scarcity of cash in banks which adversely affected economic activities in Southeast Nigeria as residents struggled to buy foodstuffs and other items for the Yuletide.

Visits to commercial banks in Enugu, Ebonyi, Imo, Abia and Anambra states showed that banks had run out of cash in their Automated Teller Machines (ATMs).

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In Enugu State, for instance, the ATMs at the First Bank branches in Okpara Avenue, Ogui Road, Presidential Road and Agbani Road were out of cash, leaving many customers stranded.

The situation was similar at the UBA, Zenith Bank, Fidelity Bank, FCMB, GTB, and Access Bank branches visited.

Some residents who spoke to KOKO TV NG lamented that the cash scarcity in commercial banks had complicated their financial situation which was already bad.

They lamented that despite the assurances of the CBN, there was no adequate cash in circulation.

A driver with Royal Mass Transit, Michael Nwede, told SaharaReporters that more than 60 percent of passengers who came to their park last Thursday to travel lamented the lack of cash.

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Photo Credit: Getty

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