The Central Bank of Nigeria (CBN), has issued a directive instructing all approved banks to cease the distribution of cash for Personal Travel Allowance (PTA), and Business Travel Allowance (BTA).
This measure mandates that these allowances be processed specifically via debit or credit cards to increase transparency and stability in the foreign exchange market.
Dr. Hassan Mahmud, Director of the Trade and Exchange Department at the CBN, who signed the directive, stated that it focuses on enhancing transparency and maintaining stability in the foreign exchange market, while also aiming to curb any fraudulent or improper practices related to forex.
This directive is expected to have a significant impact on how individuals and businesses access travel allowances, shifting the landscape towards digital transactions and ensuring compliance with regulatory standards.
Approved banks are urged to promptly implement the new guidelines to align with the CBN’s vision for a more transparent and stable forex market.
