The Central Bank of Nigeria (CBN) has announced the exemption of microfinance banks and primary mortgage banks from cash withdrawal limits.
The apex bank in a circular dated July 31, 2023 sent to all financial institutions explained that microfinance banks and primary mortgage banks that provide banking services to the economically active poor have been exempted from paying the processing fees for withdrawals above the cash withdrawal limits for direct cash withdrawals from their correspondent banks.
It said this was to enable them continue to play their expected roles in the economy and provide specialised retail banking services to their customers.
Teg circular reads: “The Central Bank of Nigeria hereby directs the exemption of microfinance banks and primary mortgage banks that provide banking services to the economically active poor from paying the processing fees for withdrawals above the cash withdrawal limits for direct cash withdrawals from their correspondent banks.
“This is to enable them to continue to play their expected roles in the economy and provide specialised retail banking services to their customers.
“Please, note that the microfinance and primary mortgage banks are required to fully comply with the cash withdrawal limits in serving their customers as per the circular with reference number BSD/DlR/PUB/LAB/015/073 dated December 21 ,2022.”
