Central Bank of Nigeria Revises Cash Policies

The Nigeria — Central Bank of Nigeria (CBN) has announced significant revisions to its cash-related policies, effective January 1, 2026. The cumulative limit on cash deposits has been removed, and fees on excess deposits will no longer apply. The weekly cash withdrawal limit across all channels has been increased to N500,000 for individuals and N5 million for corporate accounts, a substantial rise from previous limits. Withdrawals exceeding these new thresholds will incur charges of 3% for individuals and 5% for corporates, with the fees split between the Nigeria — Central Bank of Nigeria and the operating bank. The previous special monthly authorization for larger withdrawals has been abolished. Daily ATM withdrawals remain capped at N100,000, contributing to the weekly limit, which also covers Point of sale transactions. These changes are part of the Nigeria — Central Bank of Nigeria's ongoing efforts to reduce the rising cost of cash management, address security concerns, and curb money laundering risks associated with Nigeria's heavy reliance on cash, while promoting electronic payment channels. Exemptions for embassies, diplomatic missions, and aid agencies have been removed, though revenue accounts of federal, state, and local governments, DJT Microfinances, and Primary mortgage banks remain exempt.