The Socio-Economic Rights and Accountability Project (SERAP) has given the Central Bank of Nigeria (CBN) a 48-hour ultimatum to reverse the newly introduced increase in Automated Teller Machine (ATM) transaction fees, describing the policy as “unfair, unreasonable, and unjust.”
In an open letter dated February 15, 2025, signed by its Deputy Director, Kolawole Oluwadare, SERAP called on CBN Governor Olayemi Cardoso to immediately withdraw the directive, warning that failure to do so would result in legal action.
The new CBN policy, set to take effect on March 1, 2025, imposes a N100 charge for withdrawals of N20,000 or less made at ATMs outside a bank’s premises. Additionally, transactions conducted at shopping malls, airports, and standalone cash points will attract a surcharge of up to N500 per N20,000 withdrawal.
SERAP argues that the new charges will disproportionately affect low-income Nigerians, exacerbating economic hardship. Citing the CBN Act 2007 and the Federal Competition and Consumer Protection Act 2018, the group maintains that the fee hike is inconsistent with laws designed to protect consumers and promote fair financial practices.
“The increase in ATM transaction fees will hit hardest those at the bottom of the economy, worsening poverty and inequality,” SERAP stated. “CBN policies should not favor banks at the expense of everyday Nigerians who are already struggling.”
The group also criticized the policy for contradicting the federal government’s commitment to poverty alleviation, calling on the CBN to reconsider its stance.
“If we do not receive a response within 48 hours, we will take all appropriate legal actions to ensure compliance in the public interest,” the letter concluded.
Meanwhile, the fee hike has sparked widespread criticism from bank customers, many of whom have decried the growing cost of accessing their own money.
