It's almost three (3) the Central Bank of Nigeria (CBN) halt the use of Naira denominated cards to make international transactions. The suspension, which started in 2022, was pinned on persistent foreign exchange (FX) pressures and dollar liquidity shortages.
Now, several Nigerian banks including GTBank, United Bank for Africa, and Wema have announced the reinstatement of international transactions on Naira-denominated debit cards. Their Customers can now use naira debit card (MasterCard/Visa) to make payments globally.
However, the resumption of naira debit card transactions on foreign websites come with varying quarterly spending limits as imposed by several banks. Meanwhile, customers are raising questions about why the transactions limitations was imposed this time again. Let's further explain it so that you can understand.
Naira Denominated Cards for International Transactions Limits
GTBank's Transactions Limits on Naira Card for International Transactions
Guarantee Trust Bank (GTB) announced the resumption of the naira denominated cards for foreign transactions in an email sent to its customers. In the email, the bank also stated that it that a $1000 spending limit is imposed on the card for international transaction per quarter—$4000 per year.
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.
However, it's important to note that this $4000 yearly limit ($1000 quarterly) applies to all international transactions, including point-of-sale (POS), online/web purchases and payments, and ATM withdrawals outside Nigeria. The ATM withdrawal that happens outside Nigeria are further limited to $500 per quarter.
UBA's Transactions Limits on Naira Card for International Transactions
UBA also announced that its Premium Naira Cards—covering the Gold, Platinum, and World versions—are once again reactivated for international transactions.
The bank informed customers that these cards can now be used globally for everyday purchases, online shopping, POS payments, and ATM withdrawals, restoring back the great convenience and flexibility its previously provided.
Similarly, Wema Bank has reopened international access for its Naira Mastercard. Customers can now make payments in U.S. dollars on popular global platforms such as Amazon, eBay, AliExpress, Netflix, Spotify, and YouTube, marking a significant step in restoring international payment services.
Notably, these banks didn't explicitly clear their transactions limitations on their naira denominated cards. But the glad thing is that you and I can now pay directly for subscriptions and services on global platforms without relying on third-party apps, virtual dollar cards, or domiciliary accounts that charge so high to carryout these transactions on our behalf.
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, Wema Bank emphasized.
Now that Wema Bank, United Bank for Africa (UBA) and Guarantee Trust Bank (GTB) have re-opened the door for international transaction on Naira denominated debit cards, we're likely to see other banks take this bold steps to maintain their competitiveness in the Nigerian banking landscape.
How to use Naira Card to Pay Globally
You can now use your bank-issued naira denominated debit cards to make payments on both Nigerian and foreign websites. These payment options can be POS, web, and ATM.
Web Transactions
If you're making web payment, the naira card details including CVV, card numbers, expiry date, name on card, billing address, and PIN will be required. Depending on type of web transactions you're performing, an OTP verification code may also be sent to your bank to confirm your access to the card.
POS and ATM Transactions
These transactions can be carry out using the naira physical card itself to complete the transaction. To use your Naira debit card on a POS, simply present your card to the cashier, who will insert or tap it on the terminal. You’ll then be prompted to enter your PIN to authorize the payment.
For ATM transactions, insert your card into the machine, select the desired service—such as cash withdrawal, balance inquiry, or funds transfer—and enter your PIN to proceed. For GTB customers, $500 quarterly limit has been placed on ATM withdrawal carryout outside Nigeria.
