Knocks For CBN, As NANS Condemns Proposed ATM Withdrawal Charges, Threatens Protest

The National Association of Nigerian Students (NANS), on Tuesday, condemned the proposed ATM Withdrawal charges by the Central Bank Of Nigeria (CBN) with effect on the 1st of March, 2023.

Advocating for the scrap of the policy, NANS described the proposed policy as anti-people and an attack on the financial stability of Nigerian students and the larger populace.

Comrade Oladimeji Uthman, the Clerk of NANS of Senate, in a statement, made available to Daily Independent, warned that should the CBN fail to reverse the draconian policy, the Association’s Secretariat will mobilize its over four million members nationwide for a peaceful protest across the CBN state branches and the headquarters, boycotts of banking services and take legal actions to resist the planned extortion.

The association warned that it would not sit back and watch while policies that impoverish students and Nigerians continued unchecked and called on the financial sector to serve the people without the imposition of additional burdens on students and citizens.

Acknowledging that though the objective is understandable, NANS frowned at the imposition of higher withdrawal fees, saying it places an unnecessary burden on students and citizens, especially in an already struggling economy.

The statement read in parts, “The National Association of Nigerian Students (NANS) National Headquarters, vehemently rejects the newly announced Automated Teller Machine (ATM) withdrawal charges by the Central Bank of Nigeria (CBN).

“Rather than penalizing individuals for withdrawing cash, the CBN should focus on ensuring that businesses, traders, artisans, and institutions fully embrace digital transactions. A more effective approach would be to increase charges on those who receive cash payments and later deposit it in banks or hoard cash instead of encouraging electronic transfers.

“A good example is how students used to pay school fees in cash, but with the introduction of online payment platforms, they no longer need to carry physical money. This proves that when the right policies are in place, cash transactions naturally reduce without unnecessary financial strain on the public.

“Therefore, we demand the government and the CBN to rethink this policy and focus on strengthening cashless payment systems without making life more difficult for Nigerians.”

NANS emphasised that the proposed policy will impose an increased financial burden on students, encourage cash hoarding, increase hardships in rural settlements and contradict financial inclusion goals.

Warning of dire consequences, NANS called the CBN Governor, Mr Olayemi Cardoso, the Federal Government, and all stakeholders to: “Scrap the ₦100 and ₦500 ATM withdrawal charges for both on-site and off-site transactions;
implement a student-friendly banking policy that eliminates unnecessary deductions on students’ accounts, and strengthen financial inclusion by making banking services more accessible and affordable rather than imposing punitive charges.”