Several Nigerian commercial banks have resumed international transactions on Naira-denominated debit cards, after nearly three years of suspension, allowing customers to make payments on global platforms once again.
However, the reinstated services come with varying quarterly spending limits, raising questions about the criteria used to assign these thresholds.
Leading Tier-1 banks, including Guaranty Trust Bank (GTBank), United Bank for Africa (UBA), Access Bank, First Bank, Zenith Bank, and Ecobank, had suspended international transactions on Naira cards between 2022 and 2023 due to persistent foreign exchange (FX) pressures and dollar liquidity shortages.
The move came amid heightened demand for foreign currency in the lead-up to Nigeria’s 2023 general elections, which exacerbated the scarcity of U.S. dollars and strained the Naira.
During the suspension, many Nigerians were unable to pay for international services such as Twitter Premium, Apple subscriptions, and other foreign-based platforms, leading to revenue losses for global service providers and frustration among Nigerian consumers.
GTBank customers get varying transaction limits
In an email to customers on Friday, GTBank announced the reactivation of international transactions on its Naira Mastercard.
“Dear customer, we are pleased to inform you that you now have a quarterly limit of $1,000 on your GTBank Naira Card to pay for all your favourite things anywhere in the world.”
The bank clarified that the $1,000 quarterly limit applies to all international transactions, including ATM withdrawals, online purchases, and point-of-sale (POS) payments outside Nigeria. ATM withdrawals abroad are capped at $500 quarterly.
However, some customers have reported receiving higher limits. Bashir Ahmad, former media aide to ex-President Muhammadu Buhari, shared on X (formerly Twitter) that he received a $4,000 quarterly limit from GTBank.
“So, finally, Nigerian banks have now resumed international transactions on Naira cards. I received an email from @GTBank this afternoon confirming the development, stating that customers now have a quarterly limit of $4,000 on their Naira cards for international payments,” he posted.
The bank has not publicly explained the reason for the discrepancy in limits, which may be based on customer profiles, account types, or transaction history.
UBA and Wema Bank also resume
UBA also confirmed the resumption of international transactions for its Premium Naira Cards, including Gold, Platinum, and World variants.
“This means you can now use your Premium Naira Card for everyday payments, online shopping, POS, and ATM transactions across the world, with more ease and flexibility,” the bank said in a customer notice.
Wema Bank joined the list of banks reactivating global access, announcing:
“Your Wema Naira Mastercard just went global! Now you can pay in dollars on all your favourite international platforms Amazon, eBay, AliExpress, Netflix, Spotify, YouTube.”
What This Means for Consumers
The lifting of the restriction on Naira card usage for international payments marks a significant shift in Nigeria’s retail banking landscape. Customers can now pay directly for subscriptions and services on global platforms without relying on third-party apps, virtual dollar cards, or domiciliary accounts.
This development is expected to enhance customer convenience, reduce friction in cross-border payments, and potentially restore lost revenue for international service providers.
With GTBank, UBA, and Wema Bank leading the way, other banks are expected to follow suit to remain competitive in Nigeria’s dynamic financial services sector.
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