CBN: Fears As Apex Bank Lifts Suspension On Cheques

The worries over clearing of cheques is now over following the decision of the Central Bank of Nigeria, CBN to lift the suspension it imposed on March 31 as part of the corona virus lock down imposed by President Muhammadu Buhari.

A statement released by the apex bank on Monday, Signed by it Director, Banking Services Department, Sam Okojere, said customers can now approach their various Deposit Money Banks, DMBs to clear their backlogged of cheques.

The development came on the crest of President Buhari’s decision to relax the partial lock down imposed on Lagos, Ogun and the Federal Capital Territory, FCT.

Within the over one month period that the CBN’s suspension lasted, customers struggle between using the virtual banking or internet banking or not transacting financial business at all.

The situation has been made worse by fluctuation in internet services by major GSM providers in the country.

Customers can now decide what payment instrument to adopt for any of their financial transaction, the CBN said.

The circular also read, “In furtherance of its efforts in the development of a safe and efficient payment system in Nigeria, the bank in collaboration with relevant stakeholders has reviewed the need for cheque clearing to accommodate users of cheque as one of the payment instruments in Nigeria, despite the lockdown of some states and the Federal Capital Territory.

In view of this development, the bank hereby lifts the temporary suspension of cheque clearing in Nigeria. Consequently, cheque instruments will be allowed to pass through the clearing system, with effect from April 28, 2020.”

Meanwhile, analysts have raised concern that the suspension could be catastrophic in the sense that most DMBs are likely to experience overcrowding from agitated customers during the week, who may want to clear their cheques, a situation that could compromise the social distancing necessary to flatten the curve of the COVID 19 pandemic.

They insist that Banks must put in extra measures recommended by the Nigerian Centre for Disease Control, NCDC to guard against the spread of the novel virus in the country.