The Central Bank of Nigeria has announced a major adjustment to its cash policy, scrapping all restrictions on cash deposits and significantly increasing withdrawal allowances for individuals and businesses.
The new policy was issued in a circular titled “Revised Cash-Related Policies” and signed by Dr. Rita Sike, Director of Financial Policy and Regulation. The circular, distributed to banks and financial institutions, outlined the apex bank’s latest efforts to address the rising cost of cash management, growing security threats, and money-laundering risks associated with Nigeria’s cash-heavy economy.
According to the CBN, earlier directives were introduced to encourage electronic payment adoption. However, current economic conditions prompted a review of the framework.
Under the revised guidelines, which will take effect on January 1, 2026, the bank has abolished cumulative deposit limits and cancelled all related penalties.
Withdrawals have also been revised upward: individuals can now withdraw up to N500,000 weekly, while corporate organisations may access N5 million, regardless of channel. Any amount above the approved limits will attract excess-withdrawal fees as specified in the new rules.
The previous monthly special approval—allowing one-off withdrawals of N5 million for individuals and N10 million for businesses—has been discontinued.
ATM users remain restricted to N100,000 daily, with a weekly total of N500,000, which counts toward the broader withdrawal ceiling across ATMs, POS terminals, and banking halls.
Withdrawals beyond the approved threshold will attract a 3% fee for individuals and 5% for corporate entities. The charges will be shared between the CBN (40%) and the servicing financial institution (60%).
The circular further directs banks to supply ATMs with all available currency denominations, while the N100,000 limit on third-party cheque withdrawals remains unchanged and still contributes to the customer’s weekly total.
Deposit money banks are also required to submit monthly compliance reports to regulatory departments, including Banking Supervision, Other Financial Institutions Supervision, and Payments System Supervision.
The new rules exclude revenue-collection accounts operated by federal, state, and local governments.
Accounts belonging to microfinance banks and primary mortgage banks domiciled with commercial or non-interest banks also remain exempt.
However, prior exemptions granted to embassies, diplomatic missions, and donor agencies have now been withdrawn.