Nigerian Banks Raise Naira Card Limit Amid FX Liquidity Surge

Amidst a surge in foreign exchange liquidity, Nigerian banks have raised the international spending limit on Naira debit cards. This decision comes after a challenging period marked by severe dollar shortages that forced banks to sharply restrict overseas transactions.

The Central Bank of Nigeria (CBN), under Governor Olayemi Cardoso, has implemented reforms to improve foreign exchange inflow and restore confidence in the financial system. Notably, Guaranty Trust Bank (GTBank) announced a quarterly limit increase to N20,000 for Naira cards, enhancing customer flexibility for international purchases.

Other banks, such as United Bank for Africa (UBA) and Wema Bank, have also reinstated international transaction capabilities for their Naira cards. The reforms aim to address the challenges faced by Nigerian travelers, students, and online shoppers who previously struggled with access to foreign exchange.

The CBN's comprehensive reform agenda includes liberalizing the foreign exchange market and clearing a backlog of foreign exchange obligations estimated at $7 billion.