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The Central Bank of Nigeria (CBN) is advising banks and Point-of-Sale (PoS) operators to be cautious about holding onto too many banknotes, especially with the current scarcity of Naira just days before Christmas.
Sidi Ali, the acting director of Corporate Communications at the apex bank, communicated this warning in a statement on Thursday night. The CBN emphasized that there seems to be collaboration between some Deposit Money Banks and Point-Of-Sale operators, impacting the availability of cash and causing disruptions in the seamless circulation of the Naira.
In response, the CBN has initiated an investigation into the issue and cautioned banks and PoS operators to refrain from such practices or be subject to penalties.
The CBN’s response comes amidst growing public frustration regarding the shortage of Naira notes, with PoS operators taking advantage of the situation to conduct lucrative transactions.
Furthermore, the CBN has recommended that Nigerians explore alternative payment platforms and register their grievances through a digital channel specified in the statement.
“The attention of the Central Bank of Nigeria has been drawn to alleged collusion between some Deposit Money Banks and Point-Of-Sale operators affecting the availability of cash and disrupting the seamless circulation of the Naira.
“The CBN frowns at such inappropriate actions by certain individuals and is investigating the reported cases capable of undermining the smooth running of the economy.
“The CBN has, therefore, warned banks and PoS operators to desist from such activities as relevant sanctions shall be meted out to those found wanting.
“Meanwhile, members of the public are encouraged to use alternative payment channels as well as report any case of unauthorised activities, such as capping and hoarding, by banks or POS agents to the CBN branch in their locations or via the link attached to address complaints and inquiries on the subject”, the CBN stated.