CBN exempts PMBs, MFBs from cash withdrawal limits

The Central Bank of Nigeria has exempted Primary Mortgage Banks and Microfinance Banks that provide banking services to the poor from its cash withdrawal limit.

It gave this directive in a circular tagged, ‘PSM/DIR/PUB/CIR/001/049,’ released on Monday to banks and other financial institutions, which was signed by the Director, Payment System Management Department, Musa Jimoh. The circular was titled, ‘Exemption of Primary Mortgage Banks and Microfinance Banks from cash withdrawal limits.’

It stated that, “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 corresponding banks.

“This is to enable them continue to play their expected roles in the economy and provide specialised retail banking service to their customers.

The circular added that, “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/DIR/PUB/LAB/015/073 dated December 21, 2022.”