CBN To Intervene After Point-of-Sale Operators Increase Rates

Central Bank of Nigeria revealed that it will resolve issues of hiked charges, set by Point-of-Sale operators.

The intervention came after Point-of-Sale operators in Nigeria started meeting stakeholders in the country and agreed on increasing transaction charges across Lagos, Ogun, and Edo states.

The National Public Relations Officer, Association of Mobile Money and Bank Agents in Nigeria, Oluwasegun Elegbede disclosed this information, revealing that other states are all set to follow footsteps of these states and will soon increase the transaction fees.

Elegbede revealed the new price list, "N1000–N2,400 will be N100 for withdrawal. N3500 to N4000 will be N200; N4,100 to N6,400 will be N300; N6,500 to N7,900 will be N400; N8500 to N10,900 will be N500; N11,000 to N14,000 will be N600; N14,500 to N17,900 will be N700; N18,000 to N2000 will N800 for withdrawal," Punch reported.

He explained that the price hike is due to the current economic condition of the country. "Yes, it is something that is expected to happen nationally, looking at business last year and the current economic realities, it is very important that we also continue to stay in business," he said.

Elegbede hinted at subsidy removal causing price hikes and said, "Every other thing in the market has gone up, and we operate in the same market as every other business. Basically, the source of our business, the funding, the operational cost, and payment of staff is borne by us."

According to him, agents need to increase the prices if they want to survive in the market, adding that they need to balance costs.

"It will cut across all states," he noted. "What we agreed on at the national level is that each state should come up with something that is realistic in their state, we cannot dictate prices for the state."

Elegbede confirmed that many agents are already having meetings with stakeholders at this moment.

"Many of our members are in communities where there are stakeholders," he added. "Many of them are having engagements with these stakeholders. They are setting up committees to ensure that it is something that is well adopted and accepted by all."

He also confirmed that aside from Lagos, Ogun and Edo have also created a list of new rates but Lagos is getting the most attention "because of its economic status."

Central Bank of Nigeria, on the other hand, has issued emergency telephone numbers for citizens to report PoS agents, who are charging them more than N200 for withdrawal amount up to N10,000.