The Central Bank of Nigeria (CBN), Sunday, lifted the limits placed on domiciliary accounts.
The CBN, via a statement, disclosed that the the new regulation allowed account holders to deposit freely, have unrestricted access to funds in accounts, and make up to $10,000 withdrawals daily.
The statement titled ‘CBN issues further guidance on operational changes to foreign exchange market’ read in part, “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 $ 10,000 per day or its equivalent via telegraphic transfer.
“DMBs shall provide returns to the CBN, including the ‘purpose’ for such transactions.
“Cash deposits into domiciliary accounts will not be restricted, subject to DMBs conducting proper KYC, due diligence and adhering to the spirit and letter of extant AML/CFT laws and other relevant rules and regulations.”
In May 2021, banks started placing new limits on transfers that domiciliary accounts holders could make from cash lodgements.
“The maximum limit for foreign currency transfers by cash deposits is now $5,000 per month.
“This means that only a maximum of $5,000 monthly will be allowed for transfers if the source of funds is a cash deposit into a domiciliary account.
“Cash deposits of foreign currencies other than USD may be paid into domiciliary accounts (subject to an equivalent of $5,000 monthly limit) but will not be allowed for transfer purposes,” the 2021 circular stated.