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Just in: CBN Imposes N100k Bar on PoS, Issues Warning to Operators

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The Central Bank of Nigeria (CBN) has introduced a daily withdrawal bar of ₦100,000 for customers using point-of-sale (PoS) terminals, as part of a broader set of measures aimed at streamlining agent banking operations.

This new directive was communicated through a circular titled “Cash-out Limits for Agent Banking Transactions,” which was sent to all deposit money banks (DMBs), microfinance banks, mobile money operators, and super-agents across the country.

The CBN’s intervention seeks to address ongoing challenges in the agent banking sector, curb fraud, and establish consistent operational standards across the financial ecosystem.

The circular outlines specific guidelines for the implementation of these changes, which must be adhered to immediately:

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Cash Withdrawal Limit: The withdrawal limit per customer is set at ₦500,000 per week, regardless of the channel used (such as PoS terminals or other platforms).
Daily Transaction Limit: PoS terminals are now required to impose a daily cash-out limit of ₦100,000 per customer.
Cumulative Agent Limit: The total daily cash withdrawal limit for each agent must not exceed ₦1,200,000.
Connection to PTSA: All agent terminals must be connected to a Payment Terminal Service Aggregator (PTSA).
Electronic Reporting: Agents are required to electronically report all daily transactions, including withdrawals, transaction limits, and balances in agent float accounts, to the Nigerian Interbank Settlement System (NIBSS) for onward transmission to the CBN. A template for this report will be provided to the principals of agent banks.

The CBN emphasized that principals (i.e., the financial institutions responsible for the agents) will be held fully accountable for any actions or failures related to the operation of agent banking services. This includes ensuring that all agents comply with the outlined limits and reporting requirements.

Furthermore, the apex bank warned that it would conduct unannounced checks, including back-end configuration inspections, to ensure that agents are adhering to these guidelines. The CBN also stated that any violations of the new directives would result in significant penalties, including financial and administrative sanctions.

This move is part of the CBN’s broader efforts to regulate the growing agent banking sector, enhance the security of transactions, and standardize banking practices across various service channels.

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N800bn Inadequate for Nigeria’s Road Projects, Minister Umahi Tell Lawmakers

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By Gloria Ikibah

The Minister of Works, Dave Umahi, has described the N800 billion allocated to his ministry in the proposed 2025 budget as grossly insufficient to address Nigeria’s growing road infrastructure needs.

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Umahi stated this during the 2025 budget defence session held on Friday by the House Committee on Works, chaired by Rep. Akin Alabi.

Speaking candidly, Umahi called for an upward review of the ministry’s budgetary allocation, stressing that the current figure would barely make a dent in the nation’s road development agenda.

“We plead with you to help us. N800 billion cannot do anything for us. It cannot address our road needs, and so we plead with you to help us,” the Minister told the lawmakers.

Umahi who emphasised the importance of adequate funding to complete ongoing projects and initiate critical new ones across the country, also stressed that borrowing was a necessary step to bridge the infrastructure gap and stimulate economic growth.

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The Minister underscored the potential economic impact of infrastructure development, stating that it would create jobs and boost local economies.

“When the nation is in recession, you have to borrow money and invest in infrastructure. That is how you emerge from a recession. Infrastructure is a catalyst for economic activities, and this hunger we talk about will become a thing of the past,” he explained.

“Food sellers, sand suppliers, gravel workers, and others will benefit. Support Mr. President, and let’s borrow money to build infrastructure so Nigeria can be great again,” he added.

In response, Chairman of the Committee, assured Umahi that the committee would summon the Minister of Finance and the Head of the Budget Office to clarify the rationale behind the ministry’s limited allocation.

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The session also provided an opportunity for the Minister to address lawmakers’ concerns about the state of roads nationwide, with assurances that the government remains committed to completing ongoing projects.

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NASS Joint Committee Suspends Fire Service Budget Over Irregularities

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By Gloria Ikibah

The National Assembly Joint Committee on Interior has suspended the budget defence of the Federal Fire Service (FFS) following significant discrepancies in the agency’s 2024 budget performance and 2025 proposal.

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At a hearing chaired by Senator Adams Oshiomhole and his counterpart from the House, Chaired by Abdullahi Aliyu Ahmed, lawmakers flagged irregularities, including contradictory figures and inadequate documentation.

The committee uncovered discrepancies in the procurement of firefighting trucks, with similar units priced at N1.5 billion in one instance and N2.5 billion in another, despite being from the same supplier and of identical specifications.

The FFS Controller General, Jaji Abdulganiyu Idris, attributed the difference to variations in tanker sizes but failed to provide adequate supporting documentation.

Senator Oshiomhole criticized the inconsistencies, stating, “This reeks of over-padding or over-invoicing. Your written submission does not align with your explanation, and we cannot overlook this.”

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Lawmakers also raised concerns about unclear contract commitments and an outstanding payment of N603 billion for ongoing projects, which lacked proper specifications.

Oshiomhole emphasized fiscal responsibility, saying, “Every N10 wasted by MDAs adds up. Our duty is to ensure that every naira benefits Nigerians, especially the poor.”

The committee further queried the FFS over unverified revenue remittances. Idris presented manual receipts as evidence, but the lawmakers rejected them, demanding proper bank statements and confirmation from the Accountant-General’s office.

As a result, the committee stepped down the FFS budget defence, instructing the agency to rectify its submission. Oshiomhole warned, “Submit a revised presentation with accurate figures, or risk zero allocation in 2025.”

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The decision underscores the lawmakers’ commitment to accountability and efficient use of public funds, urging the FFS to address the issues promptly to secure its funding.

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Health Minister Decries Delayed Capital Funding, Highlights 2025 Budget Plans

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HouBy Gloria Ikibah

The Minister of Health and Social Welfare, Prof. Mohammed Ali Pate, has revealed that only 15.06 percent of the capital allocation for the health sector in 2024 has been released, significantly delaying the execution of critical projects.

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Speaking during defence of the Ministry’s 2025 budget before the Senate and House of Representatives Joint Committee on Health, Prof. Pate attributed the delays to the bottom-up cash plan policy of the Office of the Accountant General of the Federation.

Out of the N233.656 billion allocated for capital projects in 2024, only N26.552 billion was released and utilized. The Minister also disclosed that the Ministry had not received any funds from the N57.393 billion earmarked for multilateral and bilateral loans.

Giving and overview of the 2024 budget performance, Prof. Pate detailed that the total 2024 budget for the Ministry stood at N242.14 billion, comprising:

  • N7.48 billion for personnel,
  • N998.74 million for overhead, and
  • N233.66 billion for capital projects.

For 2025, the budget estimates have been slightly increased to:

  • N10.36 billion for personnel,
  • N1.59 billion for overhead, and
  • N248.32 billion for capital projects.

On the Health Sector Vision and Strategic Goals, the Minister emphasised that the health sector operates within the framework of the Vision 20:2020, the National Development Plan (2021–2025), and the National Strategic Health Development Plan. These policies aim to guarantee the right to health for all Nigerians, guided by the National Health Act and the 2016 National Health Policy.

He stressed that the 2025 budget aligns with the government’s focus on universal health coverage, prioritizing:

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  • Strengthening the primary healthcare system,
  • Enhancing equitable and efficient health service delivery, and
  • Promoting socio-economic development through improved health outcomes.

Prof. Pate also highlighted that the budget preparation for 2025 adhered to the GIFMIS platform, ensuring resource allocation aligns with national priorities and ministerial deliverables.

Responding to lawmakers, the Minister called for national unity in advancing the health sector. He noted significant progress despite challenges, including:

  • The provision of world-class facilities in federal hospitals,
  • Investment in infrastructure and manpower development,
  • Local drug production boosted by the President’s Executive Order signed in June 2024, which has empowered manufacturers to upgrade their operations.

He further lauded Nigerian medical personnel for their global demand, underscoring their competence and dedication.

The Minister reaffirmed the government’s commitment to improving healthcare delivery and urged Nigerians to recognize the positive developments in the sector.

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