CBN Fines Nine Banks ₦150m Each For ATM Cash Scarcity
The banks that were fined include Fidelity Bank, First Bank, Keystone Bank, Union Bank, Globus Bank, Providus Bank, Zenith Bank, United Bank for Africa, and Sterling Bank. The CBN had previously warned banks to strictly follow cash distribution rules or face tough penalties, and it appears that the regulator is serious about enforcing these rules.
The fine is a result of the CBN's efforts to ensure seamless cash flow and maintain public trust and economic stability. The regulator has been working to address the issue of cash scarcity at ATMs, which has been a persistent problem in the country.
The CBN's Director of Banking Supervision, Mr. Hassan Mahmud, said that the fine was imposed on the banks for their failure to comply with the CBN's directive on cash distribution. "The CBN has been monitoring the cash distribution activities of banks, and it has been observed that some banks have not been complying with our directives," he said. "We will continue to monitor the situation and take necessary actions to ensure that banks comply with our rules."
The fine is a significant penalty for the banks involved, and it is expected to serve as a deterrent to other banks that may be tempted to flout the CBN's rules. The CBN has also warned that it will continue to monitor the cash distribution activities of banks and take necessary actions to ensure compliance.
In addition to the fine, the CBN is also working with law enforcement agencies to crack down on cash hoarding and illegal cash sales by Point of Sale (POS) operators. The regulator has warned that it will not tolerate any activities that undermine the country's financial system and will take necessary actions to prevent further cash shortages.
The CBN's efforts to address the issue of cash scarcity at ATMs are part of its broader efforts to promote financial inclusion and stability in the country. The regulator has been working to improve the efficiency of the payment system and to increase access to financial services for all Nigerians.
The fine imposed on the nine banks is a significant development in the CBN's efforts to address the issue of cash scarcity at ATMs. It is expected to serve as a deterrent to other banks and to promote compliance with the CBN's cash distribution rules. The CBN will continue to monitor the situation and take necessary actions to ensure that banks comply with its rules and directives.
https://www.channelstv.com/2025/01/14/cbn-sanctions-banks-for-failing-to-dispense-cash-via-atms/