CBN imposes N150 million fine each on bank for shortage of ATM cash
Zainab Tanimu
The Central Bank of Nigeria has imposed penalties amounting to N1.35 billion on nine Deposit Money Banks for not maintaining sufficient cash availability in their Automated Teller Machines during the holiday season.
Each of the banks received a fine of N150 million after inspections showed they were not adhering to the central bank’s cash distribution regulations.
The banks that have been impacted are Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc.
The imposed fines will be deducted directly from the banks’ accounts held with the Central Bank of Nigeria (CBN).
The Acting Director of Corporate Communications at the CBN, Mrs Hakama Sidi Ali, in a press statement on Tuesday, had emphasised the regulator’s commitment to ensuring seamless cash availability.
“Each bank was fined N150m for non-compliance, in line with the CBN’s cash distribution guidelines, following spot checks on their branches.”
“The enforcement action follows repeated warnings from the CBN to financial institutions to guarantee seamless cash availability, particularly during periods of high demand”. The statement added.
