CBN Cracks Down on Cash Hoarders, POS Merchants, Launches Complaint Portal

(iexclusivenews) – The Central Bank of Nigeria (CBN) has launched a complaint portal and issued a stern warning to Deposit Money Banks (DMBs) and Point of Sales (POS) merchants who are allegedly hoarding cash and disrupting the smooth circulation of the naira notes in the country.

CBN’s Circular on Cash Hoarding

In a circular dated Thursday, December 21, 2023, the CBN’s acting director of Corporate Communications, Hakama Sidi-Ali, stated that the apex bank has received reports of collusion between some banks and POS operators to limit the availability of cash and create artificial scarcity of the naira notes.

The CBN expressed its displeasure at such inappropriate actions by certain individuals and said it is investigating the reported cases that could undermine the smooth running of the economy.

The CBN also warned banks and POS operators to desist from such activities as relevant sanctions would be imposed on those found culpable.

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CBN’s Complaint Portal and Alternative Payment Channels

The CBN urged members of the public to report any case of unauthorized activities, such as capping and hoarding, by banks or POS agents to the CBN branch in their locations or via the link: https://forms.office.com/r/frZJ0f2hFQ to address complaints and inquiries on the subject.

The CBN also encouraged members of the public to use alternative payment channels, such as mobile banking, internet banking, USSD, and cards, to facilitate their transactions and reduce their dependence on cash.

CBN’s Efforts to Address Naira Scarcity

Earlier, Nairametrics reported that the Minister of Information, during a media briefing at Abuja on Thursday, noted that the CBN is working to address the naira scarcity in the country.

He said the cash crunch is not a deliberate policy by the CBN, but a result of some people hoarding cash to hinder the seamless flow of economic activities in the country.

The minister said:

“About naira scarcity, our government is aware that there is this cry by Nigerians about the scarcity of Naira notes and CBN is already working in that direction. New notes and more will be produced and Nigerians will have more Naira to spend.

“It is not a deliberate policy to stifle Nigerians or to take Naira out of Nigerians during the Godwin Emefiele days. That is not the case. It is a process perhaps that the CBN is undertaking that has created a temporary shortfall and we are hoping that as we go into the New Year, we’ll see a more robust supply of the naira notes.”

The CBN’s governor, Yemi Cardoso, has been leading the efforts to stabilize the naira and boost the economy amid the challenges posed by inflation, and external shocks.