Banks are adjusting the value and volume of transactions customers can do with their debit cards abroad as Nigeria’s dollar earnings dip over the Coronavirus pandemic.
The lenders, which two years ago, raised their card spending limits on Point of Sale (PoS) and online card transactions abroad, are currently placing limits on amounts customers can withdraw with their debit cards in offshore transactions.
This became exigent as foreign reserves dipped by $3.02 billion from $38.53 billion on January 2, 2020, to $35.51 billion as of March 27, 2020, latest statistics from the Central Bank of Nigeria (CBN) have shown.
Fidelity Bank has imposed a new limit of $1,000, down from $3,000 previously.
Other lenders — Zenith Bank and GT Bank — have lowered withdrawal limits for individuals while abroad. Stanbic IBTC Bank said it has pegged its daily limit at $300.
Analysts said many of the banks are taking the measures to hedge against loss should the CBN further devalue the naira or starts rationing dollars like it was done in 2016.