Business
Currency Processing Firm Must Now Have N3bn – CBN

The Central Bank of Nigeria (CBN) has said that any company willing to operate as Currency Processing Company (CPC) must have a minimum capital of N3 billion to obtain a licence to operate nationwide.
The apex bank added that CPCs with a national license would be designated National CPC and thus registered to operate in all states of the federation.
The apex bank disclosed this in its revised guidelines for the registration of Cash-In-Transit (CIT) and Currency Processing companies in Nigeria.
The guidelines stated: “A company registered to operate as a National CPC shall: Have a minimum capital of N3 billion or such other amount as may be prescribed by the CBN from time to time; be entitled to establish offices in any State of the Federation subject to approval by the CBN, for the purpose of carrying out its operations”.
The CBN also stipulated minimum capital base of N2 billion for Regional CPC, with license to operate within the states of one geo-political zone.
The guidelines stated: “A company registered to operate as a Regional CPC shall: Have a minimum capital of N2 billion or such other amount as may be prescribed by the CBN from time to time; Be entitled to establish offices in states within one geopolitical zone subject to approval by the CBN, for the purpose of carrying out its operations; be authorised to process cash in naira and foreign currencies within one geo-political zone.”
The CBN also said companies registered to operate both as National CPC and CIT shall have a minimum capital of N4.0 billion or such other amount as may be prescribed by the CBN from time to time, while companies registered to operate both Regional CPC and CIT shall have a minimum capital of N2.5 billion or such other amount as may be prescribed by the CBN from time to time.
In a circular signed by its Director, Currency Operations Department, Mrs Priscilla Ekwere Eleje , the CBN said it has mandated all companies, including Deposit Money Banks, who are desirous of providing currency distribution and/or currency processing services in Nigeria, either for themselves or for other Deposit Money Bank(s) to register with the Central Bank of Nigeria.
This update is in furtherance of the circular released by the Central Bank of Nigeria on the “Notice to Companies Providing Currency Sorting and Distribution Services and Deposit Money Banks providing these Services for themselves or other Banks in Nigeria”, published on 14th December, 2009.
The apex bank also added that Deposit Money Banks desirous of providing currency processing and distribution services shall jointly (two or more banks) float a subsidiary company.
The subsidiary company (ies), according to the circular, shall meet all these registration requirements and be subject to the regulatory and supervisory framework of the CBN and that all prospective companies shall meet the registration requirements and be duly registered by the CBN before the commencement of operations in Nigeria.
However, the bank said any private company and/or individual(s) operating without a valid registration issued by the CBN shall have the facility closed, and in addition the promoters shall be handed over to appropriate law enforcement agencies for prosecution.
Significantly, the circular said any company that wishes to operate as cash-in-transit operator shall be duly incorporated in Nigeria and that the company shall be registered either for national or regional operations.