CBN to banks: Don’t mislead customers over domiciliary accounts transactions

By OBINNA EZUGWU

The nation’s apex bank, the Central Bank of Nigeria (CBN) advised Deposit Money Banks against passing wrong information to their customers concerning transactions carried out through domiciliary accounts in the country.

The CBN which gave the caution in a letter posted on its website on Monday and dated dated February 24, 2020 and signed by its Director, Trade and Exchange Department, Dr. Ozoemena Nnaji said all provisions of its Foreign Exchange Manual has not changed and remains in effect.

“Following different interpretations of operations of domiciliary accounts. It has become imperative to clarify the operations of domiciliary accounts as contained in the CBN Foreign Exchange Manual Memorandum 25 provisions under reference,” the letter read.

“For the avoidance of doubt, all provisions of the CBN Foreign Exchange Manual has not changed and remains in effect.

“Consequently, all ordinary domiciliary account holders can utilise cash deposits not exceeding $10,000 or its equivalent by telegraphic transfers to fund eligible transactions.

“As a result, all deposits money banks are advised to desist from misguiding their customers. Please ensure strict compliance.”