CBN To Introduce Lower Denominations On Atms

The Central Bank of Nigeria(CBN) is planning on introducinglower denomination of N200 and
N100 on automated tellermachines (ATMs) nationwide,the Daily Independent reports.

“We are working towards havingthe mix of lower and higherdenominations and we believe
that this will be acceptable byNigerians and will furtherenhance the use of ATMs and promote cashless policy further into the rural areas and also drive the policy of financial inclusion”, Head, Payment System Policy and Oversight Division of Banking and Payments Department of the
CBN, Mr Musa Iteopa-Jimoh, said.

He said the introducing lower denominations is good for the apex bank than the current
situation where higher denominations are available as it will serve as deterrent for
those who want to withdraw huge amounts, because it will be difficult to carry huge amount
from ATM points.

He, however, stated that the reason why banks are not putting lower denominations is
the cost of processing lower denominations and that the banks find it easy to put higher
denominations there because it will mean more money in the machine and the introduction of
lower denominations will mean constant loading of the machines.