The Central Bank of Nigeria on Tuesday slashed the naira debit cardholders’ spendingoverseas from $150,000 to $50,000 per annum. This came a few days after the bank announced plans to reduce naira debit cardholders’spending abroad due to inadequate foreign exchange to pay for rising amount of cardholders’overseas spending. The central bank, in a circular dated April 13 and entitled:
‘Usage of naira denominated cardsoverseas’, asked dealers and the general public to take note of the development. The circular, signed by the Director, Trade and Exchange, CBN, Mr. Olakanmi Gbadamosi, also directed Deposit Money Banks in the country to peg their customers’ daily cash withdrawals overseas at $300.
It explained: “Further to the circular referenced No: TED/FEM/FPC/GEN/01/009 of September 26, 2013, all authorised dealers and the general public are hereby informed that with effect from the date of this circular, the existing limit on the usage of the naira denominated cards for transactions overseas has been reviewed downward.
“Accordingly, the limit has been reduced from $150,000 to $50,000 per person, per annum. In addition, the authorised dealers are to ensure that the daily cash withdrawal limit embedded in the cards per person, per day, is pegged at $300.
“Authorised dealers are to ensure strict compliance with the new limit and render monthly returns of the transactions to the Director, Trade and Exchange Department, CBN, not later than the fifth day of the following month.” The central bank also urged all authorised dealers to ensure strict monitoring and compliance.