Senate raises concerns over new CBN policy, to debate it next week

The new cash withdrawal policy recently announced by the Central Bank of Nigeria (CBN) will be the subject of a motion that the Senate will discuss next week.

The legislators are expected to draft and pass resolutions endorsing or condemning the policy.

With effect from January 9, the CBN limited the amount of cash that individuals and organizations could withdraw.

The bank directed that weekly limits on over-the-counter cash withdrawals for both people and businesses be set at N100,000 and N500,000 respectively. Additionally, it stipulated that only N200 notes and lesser bills be inserted into banks’ ATMs.

It stated that there should be a weekly cap of N100,000 on the amount of cash that can be withdrawn from an ATM, with a daily cap of N20,000.

READ ALSO:Senate passes bill to limit tax incentives after FIRS loses $2.9 billion to waivers

Some senators voiced reservations about the new policy during plenary on Wednesday, expressing worry that many Nigerians will suffer as a result.

Philip Aduda, the Senate Minority Leader, raised a point of order over the matter and asked his colleagues to consider it.

However, the Senate President, Ahmad Lawan, interrupted him and stated that it was too soon to discuss the policy.

Lawan urged that a motion be brought forth for discussion next week since the manner the CBN is implementing the policy would cut off many Nigerians, and it would not be acceptable.

He also directed the committee on Banking, Insurance and other Financial Institutions, in charge of screening the newly nominated deputy governors for the apex bank, to grill the nominees on the policy.

“Motion on the policy will be thoroughly debated in the Senate on Tuesday next week after adequate information has been gotten on it. Before Tuesday next week, our committee on Banking, Insurance and other Financial Institutions mandated to screen the re-appointed Deputy Governors of the Central Bank, should focus its questions on the planned policy.

“The CBN Deputy Governors must be thoroughly drilled on the policy after which extensive debate on it will be made by Senators on Tuesday next week,” the Senate President said.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now