Recent investigation carried out by the Central Bank of Nigeria (CBN) on Deposit Money Banks (DMBs), have shown that much of the cash supplied by the apex bank to the banks were diverted to the VIP customers, leaving majority of the customers with too little to meet their demand.
The apex bank investigations by The Nation, was said to have been alarmed after discovering that the DMBs made the interests of their VIP customers in cash disbursements a priority over their ordinary customers.
Sources have disclosed that the CBN is now poised to sanction, within the coming days, banks found guilty of this malpractice, but the political will is still in doubt.
That is aside the N150 million penalty it plans to impose on any bank branch found engaging in illegal flow of freshly minted naira notes to currency hawkers and unscrupulous agents, most of who are suspected to be agents of Bank Managers.
A CBN source informed that the spot checks on DMBs led to the discovery of widespread preferential treatment for the VIP customers, with cash hoarded for their use, while regular customers face difficulty accessing funds across the counters and at the Automated Teller Machines (ATMs).
As part of its corrective measures, the CBN has issued a directive mandating DMBs to ensure equitable cash disbursement over-the-counter (OTC) and through ATMs, buy practical means of monitoring and enforcing such have remained foggy.
The bank said it would intensify its oversight to enforce compliance, warning that severe sanctions await banks found conniving with Point-of-Sale (PoS) operators to restrict cash flow to ordinary customers.
To aid its enforcement efforts, the CBN last week advised members of the public who experience difficulty accessing cash at DMBs and or at bank ATMs to report such incidents using designated channels.
The public were advised to provide the following details when filing complaints about inaccessible cash at DMB branches or ATMs: Account name/Name of the DMB/Amount involved and Time and Date of the incident.
Complaints can be submitted via the phone numbers of CBN branches located in the state where the incident occurred, or by email through the contact details listed on the CBN website for each state.
The CBN noted that public feedback is critical to identifying and addressing the bottlenecks hindering cash availability.
This intervention forms part of its broader strategy to enhance currency circulation and ensure fair treatment for all bank customers, the sources highlighted.
According to the CBN official, “the apex bank’s commitment to equitable cash distribution aligns with its role as a regulator to safeguard the financial system and maintain public trust in the banking sector.”
The public Is encouraged to remain vigilant and promptly report any irregularities, as the CBN works to restore confidence and fairness in Nigeria’s cash distribution system.
With Christmas and New Year festivities fast approaching, Nigerians need more cash to do their shopping. Accessing cash across the counters and at ATM outlets continues to be a problem.
The banks are rationing cash for customers as they contend with scarcity of naira notes.
Customers of some commercial banks in Ajose Adeogun, Victoria Island, Lagos branches of banks complained that the lenders were not meeting their cash needs.
But the story is different with POS operators who have ready cash to dispense to customers.
