Title: Liquidity Availability Issues in Nigerian Banks Hinder Access to Customer Funds
Introduction :
The current cash crunch situation in Nigerian banks has created a challenging environment for customers looking to withdraw cash. Point of Sale (PoS) operators have also been affected by this issue, forcing some of them to increase transaction fees to cover the additional costs. This has raised concerns among customers and necessitated immediate intervention by the Central Bank of Nigeria (CBN).
Problems encountered by PoS operators:
PoS operators have reported an increase in the costs of obtaining cash from banks. The charge for withdrawals ranging from ₦1,000 to ₦5,000 increased from ₦100 to ₦200, while the charge for a withdrawal of ₦10,000 increased from ₦200 to ₦300. Operators explained that these increases were necessary to cover the additional fees they must pay to banks to obtain funds. Without these adjustments, many of them would not be able to continue their activity.
Difficulties for customers:
Customers also found themselves in a difficult situation due to the liquidity shortage in banks. Automated teller machines (ATMs) at some banks do not dispense cash, while those that do only allow withdrawals limited to ₦10,000 maximum. Customers have expressed their frustration with this situation, emphasizing the importance of easy access to their funds, especially in a difficult economic context.
Call for CBN intervention:
Faced with these problems, many customers and PoS operators have called on the CBN to intervene quickly to resolve the liquidity shortage. They stressed that banks need to be more transparent in their operations and ensure adequate cash supply. Some customers have even requested urgent intervention from the federal government to remedy this situation.
Conclusion :
The liquidity shortage in Nigerian banks has created difficulties for customers seeking to access their funds. PoS operators have had to increase transaction fees to cope with the additional costs of obtaining liquidity. This situation highlights the importance of better liquidity management by banks and steps taken by the CBN to address this issue effectively.