BANKS WORRIED OVER LOW CASH DEPOSIT BY CUSTOMERS

FEAR has gripped Deposit Money Banks (DMBs) that low deposits from their customers could limit their ability to lend and offer credit to boost production and investments.
A Bankers’ Committee member confirmed that the banks have been threatened by what he described as lack of interest to “return difficult-to-get cash into the banking system.”
The cash crunch triggered by the implementation of the naira redesign policy encouraged many Nigerians to abandon the banking culture.
The banker said: “It is not really desirable if cash is not deposited in the banks, either across the counter or through electronic transfers. It means money supply will be reviewed beyond what is optimal and that can affect lending.