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First Bank Nigeria Ends Use of Naira Cards for International Payments

From Friday, September 30, 2022, First Bank Nigeria customers will no longer be able to use their Naira cards for international transactions, Businessfinancedaily reports.

This development was triggered by the lack of foreign exchange (forex) in Nigeria, the financial institution confirmed in a message to its clients on Wednesday.

First Bank revealed that customers must obtain multi-currency cards that allow them to spend up to $10,000 to transact overseas.

A Nigerian bank has struggled to meet the foreign exchange demands of its customers due to a lack of supply, despite the rise in oil prices in the global market.

The government blamed attacks on oil facilities in the Niger Delta region and oil theft as the reason for low oil production.

It was reported that Nigeria’s oil production fell below one million barrels last month, making it difficult for the country to earn more from crude oil sales.

Businessfinancedaily reported on Tuesday that commercial banks in the country are now opting for electronic currency transfer to currency user accounts instead of cash payment due to lack of supply.

“Due to the current reality of the foreign exchange market, you can no longer use Naira Mastercard, Naira Credit Card, our Virtual Card, and Visa Prepaid Naira Card for international payment transactions. It will be effective on September 30, 2022.

“Use your Visa Debit Card, Visa Prepaid (USD) Card, and Visa Gold Credit Card to continue doing business abroad with a limit of up to $10,000,” First Bank posted its message. customers today.

Despite the country’s apparent crisis in the foreign exchange market, the Central Bank of Nigeria (CBN) has said that those who really need forex should go through the formal markets which are mainly commercial banks.

The central bank of Nigeria argued that obtaining currency on the black market was illegal. It also described the platform as insignificant in the forex market, saying it only made up 5 percent of the landscape.

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