CBN resumes cheque clearing as lockdowns ease

Nigeria’s central bank said on Monday it will resume cheque clearing, just as the country prepares to gradually ease coronavirus lockdowns in Abuja and Lagos.

“Cheque clearing instruments will be allowed to pass through the clearing system with effect from April 28, 2020,” a circular stated.

It added the decision came after it reviewed the need for cheque clearing as part of a “safe and efficient payments system,” and did not cite the easing of lockdowns.

The central bank first suspended the Nigerian Clearing System from March 31, one day after the capital city and the commercial capital began lockdowns. The decision came despite the Finance Ministry keeping a “skeletal staff” to ensure online transactions and ATMs continued to work.

President Muhammadu Buhari said on Monday that lockdowns in Lagos, Abuja and Ogun states would gradually ease starting from May 4.

Use of cheques has been declining in Nigeria, but the country processed 9.02 million cheques in 2018 worth a combined 5 trillion naira ($13.89 billion), according to the Nigerian Inter-bank Settlement System, more than half of them by corporate parties. ($1 = 360.0000 naira)  (Reuters)