In a significant turn of events for the Nigerian tech industry, the Central Bank of Nigeria (CBN) has rescinded a post-no-debit order on the bank accounts of 440 individuals and companies, including numerous tech firms.
Post-no-debit restrictions block all outgoing transactions on a bank account, including ATM withdrawals and cheque issuance.
However, accounts with these restrictions can still accept incoming funds.
The banking directive, conveyed in a circular penned by A.M. Barau on behalf of the CBN Director of Banking Supervision, mandates all banks to remove the restrictions and notify the affected account holders about this development.
The Central Bank has not offered any explanation for this unexpected move.
Prominent tech firms like Bamboo Systems Technology Limited, Rise Vest Technologies Limited, Chaka Technologies Limited, abokiFX Limited, and Nairabet International are included in this list, alongside entities from other sectors such as Escale Oil & Gas Limited, Northwood Energy Services, and Proport Marine Limited.
Quoting from the circular
“You are hereby directed to vacate the Post-No-Debit restriction placed on the accounts of the underlisted bank customers at our instance. You are also required to inform the concerned customers of the vacation accordingly.”
This comes nearly two years after the CBN’s decision in August 2021 to freeze the bank accounts of 18 diverse firms spanning bureaux de change (BDCs), construction, investment, laundry services, and property.
The recently de-freezed firms include Bakori Mega Services, Ashambrakh General Enterprise, Namuduka Ventures Limited, Crosslinks Capital and Investment Limited, and IGP Global Synergy Limited, among others.
This latest CBN action underscores an interesting development in Nigeria’s banking landscape, particularly for the tech sector which has been bearing the brunt of these restrictive measures.