The Socio-Economic Rights and Accountability Project (SERAP) has given the Central Bank of Nigeria (CBN) 48 hours to reverse the recent hike in Automated Teller Machine (ATM) transaction fees, warning that failure to comply will result in legal action.
In a statement on Sunday, February 16, 2025, SERAP described the new charges as unlawful, unfair, unreasonable, and unjust, arguing that they will disproportionately affect low-income Nigerians.
The advocacy group, known for challenging government policies deemed anti-people, insisted that the CBN’s decision would deepen financial hardship for many citizens.
The CBN’s move to increase ATM withdrawal fees has sparked widespread backlash, particularly among economically vulnerable Nigerians.
Many bank customers have taken to social media to express frustration, arguing that the extra charges erode their already limited financial resources despite high inflation and economic struggles.
Under the new policy, the CBN has scrapped the three free monthly withdrawals for customers using other banks’ ATMs.
According to reports, part of the revised charges include ₦100 per ₦20,000 withdrawal for on-site ATMs (within bank premises), ₦100 per ₦20,000 withdrawal plus an additional surcharge of up to ₦500 for off-site ATMs (outside bank premises). Charges will be imposed for international withdrawals based on the acquirer’s rates, amongst others.
The CBN has yet to address SERAP’s ultimatum, but financial analysts speculate that the regulator may justify the increase as a necessary adjustment to market conditions.
Critics, however, argue that the new fees contradict the CBN’s stated commitment to financial inclusion and ease of banking for Nigerians.
Legal experts suggest that SERAP could challenge the policy on the grounds of consumer rights protection, economic justice, and financial fairness, arguing that the fee hike disproportionately impacts lower-income Nigerians who rely on cash transactions.
With public pressure mounting, all eyes are now on the CBN’s response as the deadline set by SERAP looms.
