The Central Bank of Nigeria (CBN) has introduced significant changes to its cash‑handling regulations, effective 1 January 2026. The new policies abolish the ceiling on cash deposits and raise the weekly withdrawal limit to N500,000 for individuals and N5 million for corporate entities across all platforms, a substantial increase from the previous individual limit of N100,000. The CBN communicated these changes through a circular titled “Revised Cash‑Related Policies,” endorsed by Dr. Rita Sike, Director of the Financial Policy and Regulation Department.
According to the apex bank, the overhaul aims to reduce the costs of managing physical cash, mitigate security risks, and address money‑laundering vulnerabilities in Nigeria’s cash‑driven economy. Earlier cash directives encouraged the adoption of electronic payments, but a review was needed to align with current economic conditions. The new regulations eliminate additional charges for exceeding former deposit limits and introduce a cumulative withdrawal ceiling. Any amount above the stated limits will incur excess‑withdrawal fees, split between the CBN and the servicing bank or financial institution.
For ATM usage, customers remain restricted to N100,000 daily, with a total weekly limit of N500,000. This limit contributes to the overall weekly withdrawal total applicable to ATMs, POS machines, and other channels. The CBN has also instructed banks to ensure ATMs are stocked with all available currency denominations. The ceiling on over‑the‑counter withdrawals using third‑party cheques remains at N100,000 and will count toward a customer’s weekly limit.
The new rules do not apply to revenue‑collecting accounts operated by federal, state, or local governments, nor to accounts of microfinance banks and primary mortgage banks domiciled with commercial or non‑interest banks. However, the previous privileges granted to embassies, diplomatic offices, and donor agencies have been withdrawn.
The CBN’s revised cash‑related policies are expected to have a significant impact on Nigeria’s financial sector. As the country navigates its economic challenges, these changes aim to promote a more efficient and secure cash‑handling system. Efforts to curb money laundering and reduce the costs associated with physical cash management are crucial for a stable financial environment. With the new regulations in place, financial institutions and individuals must adapt and ensure compliance with the revised policies.
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