The House of Representatives has called on the Central Bank of Nigeria (CBN) to suspend the recent increase in Automated Teller Machine (ATM) transaction charges, citing the prevailing economic hardship in the country.
This resolution followed a motion of urgent public importance moved by Marcus Onobun, the lawmaker representing Esan Central/Esan West/Igueben Federal Constituency of Edo State, during Tuesday’s plenary session.
Lawmakers Condemn Increased ATM Fees
In his argument, Onobun criticized the CBN’s directive, which introduced higher withdrawal fees and eliminated free interbank ATM withdrawals. He described the move as an additional financial strain on Nigerians already struggling with high inflation, rising fuel costs, increased electricity tariffs, and other service charges.
Under the new policy:
- Customers using their own bank’s ATMs will still enjoy free withdrawals.
- Customers withdrawing from another bank’s ATM (within bank premises) will be charged N100 per N20,000 withdrawal.
- Customers withdrawing from an external ATM (e.g., in malls, markets, or other public spaces) will face an N100 charge plus an additional N500 surcharge.
Concerns Over Financial Inclusion
Onobun argued that these new charges could discourage low-income earners from using banking services, contradicting the CBN’s financial inclusion policy aimed at expanding access to formal banking.
“The banking sector continues to record substantial profits, yet consumers are being subjected to increasing charges without a corresponding improvement in service delivery or infrastructure,” he said.
House Calls for Policy Review
The motion received overwhelming support, with Speaker Tajudeen Abbas putting it to a voice vote, after which lawmakers unanimously agreed that the CBN should immediately suspend the new ATM fee structure.
The House further directed the apex bank to engage with the Committees on Banking, Finance, and Financial Institutions to reassess the policy’s impact before any further implementation.
This development reflects growing concerns over the rising cost of financial transactions in Nigeria, as policymakers seek to balance revenue generation by banks with the welfare of citizens.
