Reintroduction of ATM charges pushes up usage of other payment channels –CBN

The Central Bank of Nigeria (CBN) said the reintroduction of the Automated Teller Machine (ATM) charges has pushed up the usage of other payment channels in the financial services sector.

Consequently, Point of Sales (PoS) transaction increased by 20.59 percent from N23.346 billion in August 2014 to N28.154 billion in October 2014. Also there has been

increased patronage of mobile money payment (MMP) to N34.398 billion in October 2014 from N28.305 billion in August 2014, an increase of about 21.52 percent.

Meanwhile, there has been a decrease of about 9.60 percent in the volume of ATM transactions following the reversal of the charges, hence ATM transaction in October declined to N311.805 billion from N244.934 billion in August 2014.

Musa Itopa Jimo, head, payment system policy and oversight division of banking and payments system department, CBN, disclosed these in his presentation on ‘Re-introduction of ATM Charges and its Implications on Cash-less Policy’ at a 3-day workshop for business editors and members of Finance Correspondents Association of Nigeria (FICAN) organised by Nigeria Deposit Insurance Corporation (NDIC) in Katsina.

Businessday