Naira Scarcity: CBN threatens banks, PoS operators hoarding cash

The Central Bank of Nigeria has warned banks and point of sale (PoS) operators to refrain from disrupting the distribution of naira notes.
According to a statement by CBN’s spokeswoman Hakama Sidi-Ali, failure to comply with the warning will attract severe sanctions.
The apex bank was investigating reported cases of collusion by banks and the PoS operators, which could undermine the smooth running of the economy, said the statement.
“The attention of the CBN has been drawn to alleged cases of collusion between some DMBs and PoS 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,” said the statement.
It urged the public to make alternative payment channels and to report cases of unauthorised activities like hoarding and capping by banks and PoS operators to the nearest CBN branch.
There have been complaints by some bank customers on naira scarcity at the counters, ATMs, PoS, and bureaux de change.
Some bank officials also claimed that the financial institutions were not getting an adequate supply of cash from the CBN.
But, in an earlier statement, the CBN assured that there was no shortage of naira notes, as there was an adequate supply of the economy.
The apex bank had explained that the seeming currency scarcity was occasioned by large volume withdrawals of cash from various CBN branches by the banks.
It said that panic withdrawals by bank customers were also partly responsible for the seeming scarcity.
(NAN)
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