The Central Bank of Nigeria (CBN) has announced a revision of fees associated with automated teller machine (ATM) cards and other card‑related services. Effective from the date of publication of the CBN’s “Guide to Charges by Banks and Other Financial Institutions (OFIs) in Nigeria 2026,” the cost of issuing or replacing a standard debit or credit card will rise by 50 per cent, from N1,000 to N1,500. Premium, hybrid or other specialised cards will be subject to negotiable rates, while virtual cards will remain free of charge.
In parallel, the CBN eliminated the monthly maintenance charge of N50 that had applied to naira‑denominated debit and credit cards. The previous charge included a 7.5 per cent value‑added tax (VAT), which will no longer be levied. Cards denominated in foreign currencies, however, will continue to incur an annual maintenance fee of US$10.
The new guide also clarifies the allocation of merchant service charges (MSC) for point‑of‑sale (PoS) transactions. The MSC, set at 0.5 per cent of the transaction value and capped at N10,000, will be borne exclusively by merchants. Cardholders will not be charged for purchases made at merchant locations, irrespective of the payment technology employed.
The circular, signed by Rita Sike, Director of the Financial Policy and Regulation Department, states that the revisions aim to strengthen Nigeria’s financial system, encourage innovation and promote financial inclusion. By lowering tariffs on micropayments and other electronic transactions, the CBN seeks to stimulate wider adoption of digital payment channels and accommodate new market participants since the issuance of the 2020 guide.
The changes form part of a broader regulatory effort to modernise Nigeria’s banking sector. Earlier reforms have focused on enhancing the resilience of the payments ecosystem, expanding access to electronic banking services and improving consumer protection. The updated fee structure is expected to reduce cost barriers for low‑value transactions, thereby supporting the country’s push towards a more cash‑less economy.
Financial institutions are required to implement the new fee schedule and communicate the changes to their customers. The CBN has indicated that compliance will be monitored, and any deviations from the guide may attract supervisory action.
The revised charges are likely to have immediate implications for consumers, merchants and fintech operators. While higher issuance fees affect new and replacement card users, the removal of recurring maintenance fees and the waiver of cardholder MSCs could offset the increase for many customers. Observers will watch how the adjustments influence card usage patterns and the overall volume of electronic payments in Nigeria.
