House of Reps Suspends CBN’s New ATM Withdrawal Charges
The House of Representatives has put a stop to the Central Bank of Nigeria’s (CBN) new policy on increased ATM withdrawal charges, citing concerns over its impact on struggling Nigerians. The decision followed a motion sponsored by Hon. Marcus Onobun, who warned that the policy would worsen the financial burden on citizens already dealing with rising costs of living.
In his argument, Onobun highlighted that Nigerians are already facing economic hardships, including hikes in electricity and telecom tariffs, making the new ATM charges an additional strain. According to the CBN’s circular, the revised charges would end free ATM withdrawals for customers using other banks’ ATMs, imposing a N100 fee per N20,000 withdrawal within bank premises and an additional N500 surcharge for off-site ATMs in malls, markets, and public places.
Lawmakers expressed concerns that these charges could reduce financial inclusion, discouraging low-income earners from using banking services. They also pointed out that banks continue to make huge profits despite offering poor service delivery and inadequate infrastructure.
The House emphasized that government intervention is necessary to protect citizens from exploitative financial practices. As a result, the CBN has been directed to suspend the implementation of the policy until further engagement with relevant committees on banking and finance takes place.
