CBN Not Ready For Cashless Policy, Nigerians React To New Charges On Cash Deposit

By Ating Enwongo On Sep 18, 2019

The commencement of charges on deposits in addition to already existing charges on withdrawals by the Central Bank of Nigeria (CBN) has sparked outrage on social media.

The apex bank on Wednesday, to further promote a cash-less economy, directed all Deposit Money Banks (DMBs) in the country to implement charges of 3% processing fees for withdrawals and 2% processing fees for deposits of amounts above N500, 000 for individual accounts.

Following the policy implementation, Nigerians took to twitter to express their thoughts on this saying the nation is not ready for the new policy as there are no proper infrastructures to enhance the cashless policy.

See some reactions below:

Why is CBN squeezing citizens hard? Why not go about this cashless policy in ways that will not amount to paying extra charges on transactions?
— Dr. Dípò Awójídé (@OgbeniDipo) September 18, 2019

Way too many bank charges and still going to be charged extra for withdrawing 500k and above. Does that mean we should not do transactions from 500k and above.
— Ayotunde Ogungbe (@ayotundeogungbe) September 18, 2019

Deposit N499,500, walk out of d bank, come in again and deposit N500. Smart! pic.twitter.com/AKtsj0eEjU
— MarcelBrown™ (@IgweMarcelo) September 18, 2019

@cenbank there's no issue implementing cashless policies but adding extra charges on deposits as a procedure for such effect is outrageous, I've not heard about measures been put in place to completely stop debits on failed transactions both on POS and ATM terminals.
— Mcjoe Royal (@Mcjoeroyal) September 18, 2019

I complained about this some months ago, the most annoying is you will charge me for the sms you’re sending to take out this vat!!! Shebi it’s your charge? Bear the cost na
— Ogbeni Bode Axelrod (@lintuse_b) September 18, 2019

What's wrong with the CBN governor. How can you think of going cashless in society that has high internet cost, low internet penetration and can't guarantee 6hours of electricity nationwide. Good idea, bad timing. Fix the necessary, do the needful.
— Bode from the other side of the fence (@DiamondBode) September 18, 2019

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Whatever panel that came up with this policy lacks common sense.. people will prefer to hold back Their money rather than get charged for making large deposits. Then the aim of the cashless policy would be defeated
— Machinor pest control (@mariacync) September 18, 2019

Cashless policy in a country where Electricity is Epeliptic.

You need to charge your phones & POS.

You need network to transfer and some villages don’t have network providers.

Nigerians like Suffering.

Buhari has done enough to just use protests and shut down this country.
— Linus (@linusNoni) September 18, 2019

Why is CBN squeezing citizens hard? Why not go about this cashless policy in ways that will not amount to paying extra charges on transactions?
— Dr. Dípò Awójídé (@OgbeniDipo) September 18, 2019

https://twitter.com/9jatraders/status/1174290275986001921?s=20

You claim you are encouraging the cashless policy but you're doing so by introducing very harsh & punitive measures. How does that make sense? Ease of doing business but killing business at the same time. Why don't you just stick a straw in us and suck us dry while you're at it?
— Usman Shamaki (@aushamaki) September 18, 2019

I understand the plight of the #CBN to want to foster cashless policy and reduce money in circulation. Quite good and adorable but the economic implication in the short run is devastating, especially now that we are trying to bury our downturns to promote businesses as a nation! pic.twitter.com/K7OhR1WMkQ
— •TheHavilahExperience™ (@TobiAjewole_) September 18, 2019

I think the extra 2% on huge deposits and withdrawals is to encourage cashless policy. Cos its more economical to transfer 500k and pay #52 than to withdraw and deposit 500k and pay 15k and 10k respectively. That's 25k for a transaction you could do with #52
— Mie?? (@d_undisputable) September 18, 2019

Just imagine transferring 500k for a business deal and it hangs half way! You go to the bank and hear "Madam give us 5 working days". We have forwarded your complain to the head branch. KWAKWAKWAKWA……..
— Dr. Frederick (Jr) Eric (@kyeric007) September 18, 2019

A deposit of N500k will cost you N10,000 in deposit charges in addition to SMS, COT, VAT, Acct. Maintenance, Stamp duty, money transfer & all other covert charges.

In Nigeria you now pay to deposit your own money in the bank, your own money o, not stolen money but worked for.
— Tosin Olugbenga (@TosinOlugbenga) September 18, 2019

Going cash-free isn’t all roses

Aren't you concerned that a cashless economy could fuel inequality?

A recent study found that 71.3% population in ?? were unbanked asat 2018

Technologically⚙ we are unprepared for a cashless economy. Foremost, Security should be the top concern
— Sir Ferdinand | FIC (@FIChinaemerem) September 18, 2019

I know I’m a roadside economist but…

…if you’re looking to encourage a cashless economy, why would you penalize cash DEPOSITS?

Wouldn’t that keep money out of the banking system?

And why target the South without providing an explanation? Nature abhors an ethnic vacuum. pic.twitter.com/YvfviwwDig
— Ose Anenih (@ose_anenih) September 18, 2019