Days after the Central Bank of Nigeria (CBN) issued an ultimatum requiring banks to ensure cash availability at Automated Teller Machines (ATMs) and in banking halls, many Nigerians are still struggling to obtain cash.
The ongoing cash shortage has compelled Point of Sale (PoS) operators to seek alternative sources of cash, such as markets and petrol stations.
A visit to various bank branches revealed that only a handful of ATMs were dispensing cash, often with strict limitations.
Customers holding debit cards from other banks could withdraw a maximum of ₦10,000, while those using cards from the same bank were allowed up to ₦20,000.
Despite CBN Governor Olayemi Cardoso’s assurances on November 29, 2024, regarding the resolution of cash shortages, bank compliance remains inconsistent.
This issue has persisted since February 2023, forcing bank customers to depend on PoS operators who impose excessively high fees for cash withdrawals.
Governor Cardoso had promised that the apex bank would conduct spot checks on Deposit Money Banks and penalise those that fail to perform adequately.
He also urged Nigerians to report any difficulties with cash withdrawals through the designated phone numbers and email addresses provided by the CBN.
“We will not hesitate to impose severe penalties on banks or financial institutions involved in malpractice or deliberate sabotage,” Cardoso warned.
Nevertheless, customers continue to express frustration. At various ATM locations, many machines were either out of order or dispensing limited amounts of cash.
A Lagos resident told Leadership newspaper, “I visited several ATMs, but none were dispensing cash. This situation is incredibly frustrating, especially after the CBN claimed that cash was available.”
In some instances, customers were redirected to banking halls, where withdrawals were capped between ₦10,000 and ₦50,000, compelling many to look for alternatives.
The scarcity has shifted the burden onto PoS operators, who now retrieve cash from unconventional sources such as markets, petrol stations, and abattoirs.
One PoS operator explained, “Market vendors prefer cash transactions to avoid issues with fake alerts or failed transfers. We arrange in advance, transfer money to them, and collect the cash when it’s available. The same applies to petrol stations.”
Another operator remarked that operational difficulties and the stress of sourcing cash have driven their charges up.
“The banks are no longer reliable. I rely on deposits from customers and cash sourced from traders. It’s the only way to keep my business afloat,” she said.
