CBN suspends cheque clearing amidst 2 weeks lockdown

The Central Bank of Nigeria (CBN) on Monday suspended clearing of cheques until further notice following the lockdown in Lagos, Ogun and FCT to contain the spread of COVID-19 pandemic.

The suspension was announced in a circular to Deposit Money Banks and the Nigeria Interbank Settlement System (NIBSS) by the Director of Banking Services at CBN, Mr Sam Okojere.

It was reported that President Muhammadu Buhari on Sunday ordered a lockdown in Lagos, Ogun and the FCT with effect from 11 p.m. on Monday, March 30 FCT), as a response to contain the coronavirus (COVID-19) pandemic.

The bank explained that in view of these developments and in furtherance to the Bank’s effort to ensure hitch-free clearing and settlement activities, the CBN had therefore suspended it until further notice.

The apex bank further stated that the clearing of cheques instruments in the Nigerian clearing starting from March and for the avoidance of doubt, no fresh cheque instrument would be allowed to pass through March 31.

The CBN noted that only returned cheque would be treated on the said date.

“However, settlement activities for electronic instruments will continue to hold during this period of suspension.”