• Wednesday, May 22, 2024
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BusinessDay

Banks see business growth from CBN directive on charges

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Banks are beginning to see business opportunities in the recent move by the Central Bank of Nigeria (CBN) to reduce or even eliminate transaction charges (COT) from customers.

As competition intensifies in this crucial sector, bank CEOs believe that the move by the apex bank will help to grow the industry as well as deposit base of banks whose strategies target the unbanked populace.

In addition to boosting businesses and enhancing financial inclusion, as canvassed by the apex bank, Kehinde Durosinmi-Etti, group managing director/chief executive officer, Skye Bank plc, believes that “reduction in transaction charges will encourage the unbanked public to put their monies in bank. All that will translate to banks having more money with increased patronage.”

In an interactive session with financial journalists, Durosinmi-Etti noted, “What is driving CBN to reduce charges is financial inclusion and cashless policy. If the charges are high, banks will not utilise their e-platforms well.”

IHEANYI NWACHUKWU