CBN sets N1.2m daily cash-out limit for PoS agents
CBN Headquarters
Nike Popoola
In line with the Central Bank of Nigeria’s ongoing efforts to advance a cash-less
economy, the Bank has released the policy interventions, which have become necessary to enhance the use of electronic payment channels for agency banking operations.
It stated this in a circular to All Deposit Money Banks, Microfinance Banks, Moble Money Operators and Super-Agents, numbered PSM/DIRIPUB/CIR/O01/057, titled, ‘Circular on cash-out limits for agent banking transactions’, signed by Oladimeji Yisa Taiwo for Director, Payment System Management Department on Tuesday.
CBN stated that these interventions aim to address identified challenges, combat fraud and establish uniform operational standards across the industry.
The circular stated that in view of the above, all principals of agents are to comply with the following directives immediately:
“Issuers shall set a cash withdrawal limit (cash-out) per customer (regardless of
channel) to N500,000.00 per week; Ensure that all agent banking terminals are set to a daily maximum transaction cash-out limit of N100,000.00 per customer; Ensure that each agent’s daily cumulative cash-out limit shall not exceed
N1,200,000.00; Ensure that agent banking services are clearly demarcated from merchant activities and that agents apply the approved Agent Code 6010 for agentbanking activities.
“Ensure that agency banking activities are consummated exclusively through
agent float accounts maintained with the principals; Monitor accounts associated with the agents’ BVN(S) with a view to identifying agent banking activities which may be conducted outside the designated float
account(s); Ensure that all agent terminals are connected to a PTSA
Ensure that all daily transactions per agent, including withdrawals, limits of
transactions and balances in the float accounts of each agent, are sent
electronically to NIBSS as a repot to the CBN. The template of this report will
be sent to principals.”
As stated in the Guidelines for the Regulation of Agent Banking and Agent Banking Relationships in Nigeria, principals shall be wholly responsible and liable for all actions.
The CBN said it will conduct oversight of the afore-mentioned actions (including impromptu back-end configuration checks) to ensure that all principals and their agents comply.
“Any breach of the directives contained in this Circular shall attract appropriate
penalties including monetary and/or administrative sanctions,” the statement said.
