Banks Notify Customers Of $10,000 Deposit Limit For Domicilary Accounts

Nigerian commercial banks have issued notifications to their customers on a limit of transactions to domiciliary accounts in compliance with CBN regulatory directives.

As a result, customers are to comply with a daily limit of $10,000 deposit either by inflow or cash deposit and a monthly cumulative of $20,000 (cash deposit) into their domiciliary accounts.

Also, banks want customers to clearly state the purpose of payment, and all ‘supporting documents’ for foreign currency transfers to third parties such as Form M, Form A, Proforma Invoice, Medical, Insurance, School fees et cetera; must be provided.

This is coming after the Central Bank of Nigeria dismissed speculations that it intended to convert the foreign exchange in domiciliary accounts of customers into naira.

Osita Nwanisobi, acting director of, corporate communications department, said the CBN had put in place a monitoring mechanism to guarantee the seamless sale of foreign exchange to customers who supported their requests with relevant documentation.

He dismissed insinuations in some quarters that the CBN planned to convert the foreign exchange in the domiciliary accounts of customers into naira in order to check the purported shortage of availability of the United States dollars.

The Central Bank of Nigeria had on February 2020, issued a circular to all banks, signed by Ozoemena Nnaji, director, trade, and exchange department, on ‘Clarification on operations of ordinary domiciliary accounts’, which stated that all ordinary domiciliary account holders can utilise cash deposits not exceeding USD10,000.00 or its equivalent by telegraphic transfers to fund eligible transactions.