NIGERIA`S APEX BANK SETS NEW DEPOSIT LIMIT FOR ACCOUNT HOLDERS

The Central Bank of Nigeria has set new deposit limits for all categories of account holders and introduced three-tier Know Your Customer requirements for banks. The policy pegs a maximum single deposit amount of N20,000 and maximum cumulative balance of N200,000 at any point in time on the Low Value Account.

It equally pegged the maximum single deposit at N50,000 and a maximum cumulative balance of N400,000 on the Medium Value Account. No limit was however placed on the cumulative balance for the High Value Account.

CBN HEADQUARTERS, ABUJA

The policy also categorised bank customers into Low Value Accounts (Level One); Medium Value Accounts (Level two) and High Value Accounts (Level three).

A circular signed by CBN Director, Financial Policy and Regulation, Chris Chukwu, and distributed to all banks and other financial institutions explained that the policy became exigent after the CBN recognised that access to basic banking facilities and other financial services is necessary in achieving the policy on financial inclusion.

The circular advised banks to adopt the new Know Your Customer requirement adding that the proposed deposit limits is to reduce the risk of money laundering and terrorism financing.

For mobile banking products, the account attracts a maximum transaction limit of N100, 000 and daily limit of N1 million however, such products are subject to the CBN Regulatory Framework for Mobile Payments Services in Nigeria.