By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-The Central Bank of Nigeria (CBN) said on Tuesday its cutting down the spending limit on the usage of the naira denominated debit cards for transactions abroad, from $150,000 per person annually to $50,000.

Also, the CBN fixed the daily cash withdrawal limit on the card at $300 per person.

This is coming on the heels of a circular with reference number TED/FEM/FPC/GEN/01/009 signed by Olakanmi Gbadamosi, the CBN’s director, Trade and Exchange Department all authorised dealers and members of the public.

The circular containing the policy which became effective from Monday, according to the CBN reads thus: “Further to the circular referenced No. TED/FEM/FPC/GEN/01/009 of September 26, 2013, all authorised dealers and the general public are hereby informed that with effect from the date of this circular (13th April, 2015) the existing limit on the usage of the naira denominated cards for transactions overseas has been reviewed downward.

Accordingly, the limit has been reduced from $150,000 to $50,000 per person, per annum. In addition, authorized dealers are to ensure that the daily cash withdrawal limit embedded in the cards per person, per day, is pegged at $300.

Authorised dealers are to ensure strict compliance with this new limit and render monthly returns of the transactions to the director, Trade and Exchange Department, Central Bank of Nigeria not later than the 5th day of the following month.

Please ensure strict monitoring compliance.”