Business

Currency outside banks reverses upward trend, falls by N27bn

•As cash in circulation maintains upward trend, rising to N3.92trn 

•PoS agents lament limited cash withdrawal from banks

Currency Outside Banks, CoB, fell month-on-month (MoM) by N27.5 billion or 0.55 percent to N3.6 trillion in April from N3.627 trillion in March 2024.

The Central Bank of Nigeria, CBN, Money and Credit data for March released yesterday also showed that this was the first decline in CoB this year as it has been on the rise since January 2024 after it fell by 4.37 percent to N3.28 trillion from N3.43 trillion in December 2023.

However, currency-in-circulation (CIC) increased MoM by 1.5 percent to N3.92 trillion in April from N3.86 trillion in March.

The decline in CoB may be indicative of controversy around availability of cash in the banks with bank customers’ lamenting of limited cash withdrawals in banks and Automated Teller Machines, ATMs.

Some Point of Sale, PoS, operators have also complained of their inability to access cash in banks and have resorted to other sources or do away with the little they have and close for the day.

Speaking to Vanguard, Mrs. Omobola Beauty, a PoS agent, said: “It is difficult to get cash from the bank now. I don’t really know what is happening. Before I can withdraw N100,000 to N200,000 over the counter from my bank.

“Since yesterday, I was told I can only withdraw N50,000. The situation is so terrible that some banks will tell you it is N20,000 they can give over the counter even if you are an agent

“I have to manage the little cash I have which is not up to N50,000 to do business. Even the traders who usually deposit money are not bringing it. I have been doing transfers with an ATM card since morning today. No one has brought cash for transfer.”

Mr. Jerry Iduzogie, another agent said: “This cash scarcity in banks started last week. My bank that gives out up to N300,000 to the agent told me I could only withdraw N20,000 from across the counter or ATM.

“I was dumbfounded, but I just had to collect it . It was my wife that assisted me to source for cash from her friends who are traders.

“That’s why I am still in business this week.”

Miss Rebbeca Daniels, an agent said: “ A friend of mine at the bank who confided in me said there is no cash as many Nigerians no longer take their cash to the bank.

“If you go to any shop today, they have a PoS terminal where they are doing transfers and withdrawals. So, most of the cash people use in buying goods from them still goes back to the public and not the bank.

“When I got to the bank today, I was given N10,000 over the counter. It is those mallams trading here that supply me cash. That is how I am surviving in this business.”


Discover more from starmich blog

Subscribe to get the latest posts sent to your email.

starmich

Michael Tanyare Professionally known as Starmich is a talented and accomplished individual with a passion for excellence. With a strong background in writing, Michael has established himself as a respected professional in the blogging industry. Beyond his professional endeavors, Michael is known for his diverse range of interests. He is an avid online journalist, which further showcases his well-rounded personality and passion for exploring new horizons. Michael's commitment to continuous growth and learning is evident in his pursuit of excellence. This drive allows him to stay at the forefront of emerging trends and maintain a competitive edge in his field. With a warm and approachable demeanor, Michael is highly regarded for his strong communication skills and ability to connect with others. He thrives in collaborative environments and enjoys building meaningful relationships with colleagues and clients alike. In his free time, Michael enjoys surfing the internet. This balance between his professional and personal life reflects his belief in leading a fulfilling and well-rounded lifestyle. With a proven track record of success and a genuine passion for his work, Michael Tanyare continues to make a significant impact in his field. His dedication, expertise, and personable nature make him a valuable asset to any project or team."

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button

Discover more from starmich blog

Subscribe now to keep reading and get access to the full archive.

Continue reading