The Central Bank of Nigeria (CBN) has opted to extend the suspension of banks’ processing charges on cash deposits exceeding certain thresholds until September 30, 2024. This directive, outlined in a letter signed by Adetona Adedeji, acting director of banking supervision, entails the continued suspension of the 2 percent and 3 percent fees levied on cash deposits surpassing N500,000 for individuals and N3 million for corporates, respectively.
Initially implemented in December 2019, the CBN introduced processing charges on cash deposits exceeding N500,000 for individuals and N3,000,000 for corporations, as stipulated in the Guide to Charges by Banks, Other Financial Institutions, and Non-Bank Financial Institutions. However, December 2023 witnessed the suspension of these processing fees on all cash deposits surpassing these thresholds.
The recent extension mandates that ‘all banks accept all cash deposits without any charges until September 30, 2024,’ as highlighted in the report. This decision arrives amidst the Federal government’s imposition of a 0.5 percent cybersecurity levy on electronic transactions, announced by the CBN, which has sparked concerns among many.
Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), has voiced profound concerns regarding the cybersecurity levy, citing the challenges faced by businesses and citizens amid ongoing economic reforms. He further acknowledged the burden imposed on businesses by multiple federal taxes and levies, posing obstacles to stimulating economic growth and job creation.
