With only four days remaining until the Central Bank of Nigeria’s deadline for the old N1,000, N500, and N200 notes to cease circulation, Deposit Money Banks have implemented additional security measures to protect their branches from potential attacks by frustrated customers. Reports indicate that on Friday, customers flocked to bank branches across the country in a desperate attempt to withdraw new notes for weekend use and deposit old notes before the impending deadline. Unfortunately, many customers faced disappointment as they were unable to make withdrawals through Automated Teller Machines (ATMs), most of which were shut down due to a lack of new notes. The few ATMs that were operational had long queues of anxious customers waiting for cash.
Security personnel at bank branches struggled to manage the surging crowds, as customers attempted to enter banking halls in hopes of withdrawing new notes over the counter. In some locations, the situation nearly escalated into chaos, with customers expressing frustration over long wait times without being granted access to the banking facilities. A branch manager from a Tier-1 bank in the Lekki area of Lagos State reported that the bank had taken extra precautions to prevent potential attacks from angry customers who were unable to obtain new notes. Despite assurances from the Central Bank that sufficient new notes were being supplied, the manager revealed that the actual supply was inadequate. For instance, her branch received only N9 million in new notes to distribute among four ATM terminals, which quickly ran out.
The manager explained that on a subsequent supply day, the bank received just N4 million, which was also quickly depleted. She noted that only one ATM terminal was operational that evening due to technical issues with another, and the bank had to prioritize safety over repairs. Anticipating possible vandalism, the bank had communicated its concerns to its head office, which responded by deploying additional security personnel to branches facing similar challenges. In response to the growing unrest, the state police command also increased its presence, deploying additional personnel and equipment, including armored vehicles, to key banking locations to prevent any potential disturbances.
Another bank manager in the Abule-Egba area of Lagos highlighted the need for heightened security measures, given the area’s volatility and the risk of hoodlums exploiting customer protests to vandalize banks. This manager noted that armed police were now visibly present at the branch, in contrast to previous practices where their presence was less apparent. Observations from the field revealed armored personnel carriers stationed at critical junctions, with armed riot police on standby.
A notable incident occurred at a UBA branch in Ibafo, Ogun State, where all ATM points had run out of cash. Customers, kept under a canopy due to COVID-19 restrictions, expressed outrage when a bank employee was allowed access to the banking hall while they were not. It took considerable effort to calm the crowd, who felt they were being treated unfairly. Bank officials explained that the supply of new notes had been exhausted since Thursday. A similar situation unfolded at an Access Bank branch nearby, where only two of eight ATMs were dispensing cash, leading to heated exchanges among waiting customers.
At various branches, including those of Ecobank and Zenith Bank, ATMs were out of cash, and customers reported that the supply of new notes had been insufficient. For example, a security guard at the Zenith Bank branch indicated that no new notes had been supplied for two days, leading to rapid depletion of the available cash. In the Ijaiye area of Lagos, only one out of eight ATMs was operational, and customers were frustrated by being offered old notes over the counter, which many rejected. The situation was similarly dire at the First Bank branch in Abule-Egba, where only one ATM was dispensing cash.
As the deadline approached, some banks announced extended hours, including Sunday operations, to accommodate customers wishing to deposit old notes. First Bank, GTBank, and Ecobank all communicated their plans to remain open over the weekend, urging customers to deposit their old naira notes before they ceased to be legal tender. The urgency of the situation was underscored by the widespread acknowledgment that economic activities had been severely disrupted due to the shortage of new notes, prompting calls from the Kano State Government and local Islamic clerics for an extension of the January 31 deadline.
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