Bank customers can’t withdraw desired amount as banks lack cash
By Jeph Ajobaju, Chief Copy Editor
Bank customers North and South cannot withdraw as much as they want as Central Bank of Nigeria (CBN) liquidity squeeze on banks collides with surging demand for cash in the usual December rush of festivities.
Banks have clamped withdrawal limits across branches in cities making it impossible for customers to withdraw over the counter the total amount requested.
Some customers said bank officials reduced the amount they wanted to withdraw and asked them to use alternative channels to carry out outstanding transactions.
Investigation by The PUNCH shows that most banks do not load all their ATMs, which worsens the plight of customers.
Point of Sale (POS) operators cannot withdraw enough cash from banking halls and ATMs to run their businesses properly.
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Across states
Bank officials said the surge in the demand for cash caused by the festive season makes it difficult for banks to meet the needs of customers.
Customers in many states, including Lagos, Ogun, Ondo, Oyo, Taraba, and Abuja, recounted their ordeal from last week when the problem began.
Below are samples:
Ogun
“I was at Access Bank and GTBank branches inside Redemption Camp in Ogun State to collect N500,000 on Monday but I could not do so.
“Access Bank officials said they could give me only N100,000. Gtbank officers also claimed they could give me only N150,000.
“The two banks claimed there wasn’t enough cash and subsequently advised me to use alternative channels to do my remaining transaction,” Shola Adekunle, a PoS operator in Mowe told The PUNCH.
Lagos
A bank manager in a branch of FirstBank in Lagos, who did not want his name in print, said: “What we have resorted to doing is to encourage our customers to use alternative channels.
“The CBN hasn’t been giving us enough cash in recent times especially since the surge in demand started a few days ago. But the truth is that people should be encouraged to use alternative channels.”
Ondo
Many banks are operating without adequate cash to meet the needs of numerous customers. There are long queues at some ATM points as other machines do not dispense cash.
A bank official in Akure, who spoke on condition of anonymity, confirmed shortage of cash supply from the CBN.
“For some time now, we have not got enough cash from the CBN, we have many customers who want cash but we can’t give enough because we have shortage in supply.
“All we tell our customers is that there is no network, in order not to make them feel disappointed. We can’t tell them that there is no cash. It is odd to hear but that is the situation we find ourselves,” she told The PUNCH.
A POS operator, who identified himself simply as Adegbola, lamented how the lack of cash from banks affects his business.
“For the past few days now, I cannot attend to customers who want to withdraw over N50,000 at once. This is because I can’t receive much cash from my banks. I am forced ration little cash,” he said.
He urged the CBN to find a solution to the liquidity squeeze as a matter of urgency, saying it has compounded the financial problems of Nigerians.
Oyo
A bank customer in Ibadan, who identified himself simply as Godwin, said he also had difficulties in withdrawing from his account.
“I wanted to withdraw just N250,000 last Friday and I went to two branches of the bank. After spending several hours, I was paid just N50,000.
“I wanted to use the money to buy a few gifts and keep extra cash in a case of emergency but I was frustrated. One of their officials told me that the CBN did not give them cash.”
But another customer of the same bank confirmed he withdrew millions of naira from his account on Tuesday.
“We went to the bank today to withdraw some cash and there was no problem. I withdrew less than N7 million with ease.
“There were even customers making withdrawals and making deposits and I did not see any sign of distress or crisis there.”
Taraba
Businesswoman Ngozika Chinyere said her funds are trapped in the bank and it is affecting her business.
Her words: “I was in the bank on Monday to withdraw N2 million, but I was told that I can only withdraw less than N300,000. Most of my customers are villagers who don’t have bank accounts, so the development is affecting my business.
“It is very unfortunate that we have money in our accounts, but we cannot withdraw our money when we need it. We need an explanation as to what is happening.”
Businessman Aminu Umar from Mutum-Biyu, who also operates a PoS, narrated that he was at a Zenith Bank branch in Jalingo to withdraw N10 million but was told he could only get N3 million.
He said he needs the N10 million for his customers who come to buy grains in Mutum-Biyu market.
“Initially, I thought it was only Zenith Bank that is having the problem, but most banks in Jalingo are without money.
“A friend of mine in Kano told me that they are facing the same problem. I want to call on the CBN governor to intervene in the issue especially during this Yuletide that people need cash.”
CBN asks customers lodge complaints
CBN spokesperson Osita Nwanisobi said: “Customers who are having difficulty withdrawing cash should send their complaints to the CBN through the various channels provided by the bank.
“This way, the CBN will be aware of the challenge, which banks are affected, and address it accurately.”