The members of the National Union of Road Transport Workers (NURTW), the Road Transport Employers Association of Nigeria (RTEAN), and street-level operatives known as “Agberos” have capitalized on the crisis, selling cash at inflated rates to Point-of-Sale (PoS) operators desperate to keep their businesses afloat.
Investigations revealed that these groups are sourcing cash through various channels, including revenues from transport operators, hawkers, and street vendors, before reselling it at a significant premium to PoS agents across Lagos and other urban centers.
A PoS operator in Lagos, who spoke on the condition of anonymity, shared the devastating impact on their business: “We buy cash from middlemen because banks can’t supply enough. They sell N10,000 for N13,000 or more. It’s either we buy or close shop because people need cash, and this is our livelihood,” the operator lamented.
Financial experts are now raising concerns over the role of commercial banks in exacerbating the crisis. Mrs. Yetunde Ibrahim, a financial analyst, suggested that some bank officials may be complicit in the problem.
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“There are allegations that certain bank officials prioritize cash distribution to influential groups or individuals who resell it at a premium. This undermines equitable distribution and worsens public frustration,” she stated.
READ ALSO: CBN Cracks Down on Fraud with N100,000 Daily Withdrawal Limit on PoS Terminals
The Central Bank of Nigeria (CBN) has made efforts to alleviate the crisis by setting a daily cash-out limit of N100,000 per PoS operator, encouraging cashless transactions, and ensuring more even distribution of available funds.
Also, the apex bank has instructed banks to ensure that ATMs are adequately stocked and has warned of sanctions for non-compliance. However, the cash shortage persists, with businesses in both urban and rural areas struggling to operate as Christmas draws near.
