Headline

CBN Lifts Restrictions On Domiciliary Accounts

As a result of this action taken at an extraordinary Bankers’ Committee meeting on Friday, deposits into and withdrawals from the foreign currency accounts are open.

Advertisement
Advertisement

CBN has lifted restrictions on domiciliary accounts in Nigeria after Emefile’s suspension and arrest.

 

NewsOnline reports that holders of domiciliary accounts now have unfettered access to operation such accounts, following the Central Bank of Nigeria (CBN)’s decision to lift restrictions.

 

As a result of this action taken at an extraordinary Bankers’ Committee meeting on Friday, deposits into and withdrawals from the foreign currency accounts are open.

A domiciliary account holder can make a daily transfer not exceeding $10,000 or its equivalent.

The banks are to provide returns to the CBN, including the “purpose” for such transactions.

 

“Ordinary domiciliary account holders shall have unfettered and unrestricted access to funds in their accounts. Domiciliary account holders are permitted to utilise cash deposits not exceeding USD$ 10,000 per day or its equivalent via telegraphic transfer,” the CBN said in a statement by its Director of Corporate Communications, Dr Isa Abdulmumin.

The statement explained that: “These policy changes aim to promote transparency, liquidity and price discovery in the Foreign Exchange (FX) market in order to improve FX supply, discourage speculation, enhance customer confidence and ensure overall stability in the FX market.”

Other changes introduced in the Forex market by the CBN are that “cash deposits into domiciliary accounts will not be restricted, subject to banks’ conducting proper KYC, due diligence and adhering to the spirit and letter of extant AML/CFT laws and other relevant rules and regulations”.

 

The CBN has also decided that it “will prioritise orderly settlement of any committed FX forward transactions as they fall due in order to boost market confidence further.”

 

On foreign exchange for visible and invisible transactions(medicals, school fees, BTA/PTA, airline and other remittances) , the CBN decided that they ”will now be eligible for the Investors’ and Exporters’ (I & E) window.

 

As a result of this, banks have been told to “ensure expeditious processing of all eligible invisible transactions on behalf of their customers using the applicable rate at the I & E window”.

 

The CBN also resolved to “normalise its Cash Reserve Ratio (CRR) maintenance processes and ensure equity in its implementation across the banking industry. ”

 

The apex bank added that it would issue further guidance as it implements the ongoing reforms in collaboration with stakeholders.

Advertisement
NewsOnline Nigeria

Recent Posts

  • Africa

General Tiani Accuses France Offering Nigeria Funds To Destabilize Niger Republic

General Tiani has accused France of offering Nigeria funds to destabilize the Niger Republic and…

5 hours ago
  • 2027 Election

Kwankwaso Vows To Diminish APC Just Like PDP In 2027 General Elections

Kwankwaso has vowed to diminish APC just like PDP in the 2027 general elections.  …

5 hours ago
  • Headline

BREAKING: MTN, AIRTEL, GLO, Others To Hike Call, Data Tariffs Early 2025

MTN, AIRTEL, and GLO among other telecoms operators are reportedly set to hike call and…

6 hours ago
  • Crime Watch

BREAKING: EFCC Arrests Joy Enwa Over N1.3 Trillion Misappropriation Under Okowa

EFCC has arrested Joy Enwa over N1.3 trillion misappropriation under Okowa.   NewsOnline Nigeria reports…

6 hours ago
  • Featured

Open Heaven 26 December 2024 RCCG Daily Devotional

Open Heaven 26 December 2024 RCCG Daily Devotional can be accessed below.   NewsOnline Nigeria…

6 hours ago
  • Exchange Rates

Black Market Dollar To Naira Exchange Rate In Lagos, FCT, 26 December 2024

Black Market Dollar To Naira Exchange Rate in Lagos and FCT today, 26 December 2024.…

6 hours ago