ATM Cash Disbursement: CBN Fines Fidelity Bank, First Bank, others.

 

The Central Bank of Nigeria has fined a total of Nine (9) banks ₦150 million Naira each as penalty for not disbursing cash via their ATMs. 

In the latest CBN publication, the Bank noted that it took action after several cautions were sent to the Deposit Money Banks last year via a circular in November, 2024.

"The intervention follows several cautions from the Bank to DMBs via its circular dated November 29, 2024, directing them to ensure efficient cash disbursement to customers over the counter (O-T-C) and through ATMs. This was followed by a circular dated December 13, 2024, stipulating the penalties for DMBs found culpable of inappropriate cash disbursement practices. 

Following the breaches, the affected banks were fined N150 million each for noncompliance after spot checks were carried out at their ATMs. The banks include 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 lack of disbursement from most of these banks is what has led to the high volume of transactions passing through POS agents which is synonymous to citizens buying the country's currency.