The House of Representatives has called for the immediate suspension of the recent increase in ATM transaction charges and the removal of free ATM withdrawals for customers using other banks’ ATMs, as imposed by the Central Bank of Nigeria (CBN).
Lawmakers argued that the policy places an additional financial burden on Nigerians, especially as the banking sector continues to record substantial profits without corresponding improvements in service delivery.
The resolution followed a motion moved on Tuesday by Hon. Marcus Onobun, who highlighted that the CBN’s new directive revised Section 10.7 of the Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions. Previously reviewed in 2019, the section had reduced ATM withdrawal fees from N65 to N35 per transaction.
Under the new policy, customers withdrawing from their own bank’s ATMs would continue to enjoy free transactions. However, withdrawals from other banks’ ATMs would now attract a N100 fee per N20,000 transaction within bank premises. Additionally, transactions at offsite ATMs in locations such as malls and marketplaces would be subject to a N100 charge plus a N500 surcharge.
The House warned that these new charges could hinder financial inclusion by discouraging low-income earners from accessing banking services, contradicting the CBN’s financial inclusion agenda.
Lawmakers urged the apex bank to halt implementation of the policy until it engages with relevant committees on banking, finance, and financial institutions. They stressed that Nigerians are already facing severe economic hardships, including high inflation, rising fuel prices, electricity tariff hikes, and excessive banking fees, all of which negatively impact disposable income and overall economic well-being.
The House reaffirmed that the government has a duty to shield citizens from exploitative financial policies that could deepen economic distress.
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