The Socio-Economic Rights and Accountability Project (SERAP) has called on the Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, to immediately revoke the recent increase in Automated Teller Machine (ATM) transaction fees, describing it as unlawful, unfair, and unjust.
SERAP urged the CBN to ensure its policies do not worsen the economic hardship faced by Nigerians or contribute to human rights violations. The CBN had recently announced that ATM withdrawals from off-site bank-owned machines would now attract a ₦100 charge per ₦20,000 withdrawn, while withdrawals from standalone cash points, shopping centers, and airports would incur an additional surcharge of up to ₦500. The new charges are set to take effect from March 1, 2025.
In an open letter dated February 15, 2025, and signed by SERAP Deputy Director Kolawole Oluwadare, the organization criticized the increase, warning that it would disproportionately affect low-income Nigerians and further deepen poverty. According to SERAP, banks and their shareholders, who continue to report massive profits, should bear such costs instead of passing them onto struggling citizens.
The letter also emphasized that the fee hike contradicts President Bola Tinubu’s stated commitment to tackling poverty. SERAP warned that if the CBN fails to reverse the decision within 48 hours, it would pursue legal action to compel compliance in the public interest.
SERAP further argued that the increase violates the Nigerian Constitution, the CBN Act, the Federal Competition and Consumer Protection Act, and international human rights standards. It accused the CBN of abusing its dominant position by imposing excessive charges that unfairly burden consumers.
The organization also pointed out that the CBN has a responsibility under the United Nations Guiding Principles on Business and Human Rights (UNGPs) to ensure its policies do not contribute to economic harm. It called on the apex bank to undertake proper human rights due diligence and eliminate transaction fees that have severe negative consequences on Nigerians.
