CBN to Extend Cashless Policy to FCT, 4 other states from July 1

The Central Bank of Nigeria (CBN) has concluded plans to extend the cashless policy to Rivers, Kano, Anambra and Abia States as well as the Federal Capital Territory (FCT) from July 1.

The apex bank’s Deputy Governor in charge of Operations, Tunde Lemo, said that the aforementioned states and the FCT were chosen because of the large volume of cash transactions in some of their major cities such as Aba, Kano, Port Harcourt and Onitsha.

The cashless policy, whose implementation began in Lagos in January 2012, is aimed at reducing the dominance of cash in the system. The policy specifies penal charges for individuals and corporate organisations that want to withdraw or lodge cash above prescribed limits.

Under the policy, the CBN pegged the daily cumulative cash withdrawal or deposit limit for individual accounts at ₦500,000 per day and ₦3 million per day for corporate accounts.