CBN clarifies position on operation of domiciliary accounts

The Central Bank of Nigeria (CBN) says has not prohibited the acceptance of foreign currency cash deposits Deposit Money Banks (DMBs).

The CBN Director, Corporate Communications, Mr Issac Okorafor made the clarification while speaking to newsmen in Abuja on Sunday.

A domiciliary account is a type of current account that allows you to fund with foreign currencies such as dollars, pounds or euros and enables you to foreign transactions on that account.

The account used to transfer money to another country or receive foreign currency from another country.

Okorafor explained that only electronic fund transfers into Domiciliary accounts also transferred from such accounts while cash deposits into such accounts as well allow to withdrawn in cash also.

He said the clarification was necessary due to misrepresentation of facts and uncertainties surrounding the operations of domiciliary accounts in the country.

Okorafor therefore urged stakeholders and other interested parties in banking sector to always endeavour to clarification on issues.

According to him, rumours and speculative tendencies are detrimental to the financial system. (NAN)