The Central Bank of Nigeria (CBN) has recently provided new guidelines to Deposit Money Banks (DMBs) regarding the deposit of foreign currency notes with the central bank.
In circular no: COD/DIR/INT/CIR/001/016
According to a statement from the Director of Currency Operators, Mr. Mohammed Solaja, which was posted on the bank’s website, it states that DMBs (Deposit Money Banks) are required to inform the apex in writing about their intention to make deposits at least three working days in advance.
Foreign currency deposits can only be made at the CBN branches located in Abuja and Lagos. The directive stated that every bank would have a daily limit of $10 million for deposits of USD 100 and USD 50 notes.
According to the CBN, daily withdrawals for smaller denominations of $20 and below will be capped at $1 million. The British Pound and Euro were also fixed at GBP 1 million and Euro 1 million per day per DMB.
The circular states that every denomination would be kept in separate boxes and two representatives of a DMB wishing to make.Deposits have to be present to count and verify the total.
It further said that only CBN-registered CIT firms permitted to represent the DMBs in the exercise would be able to deposit foreign currency notes.
CBN said that the chosen branches have to verify the deposits same day and that the deposits would take place between 8.00 am and 12 noon.
Handling charge, it stated will be at 0.30 percent and received from the Current Accounts of DMBs with the CBN According to the bank, the new rules take precedence over the June 17, 2017 circular referenced COD/DIR/GEN/CMF/11/094.
