The Central Bank of Nigeria (CBN) has unveiled significant updates to its cash management policies, effective January 1, 2026. These changes are part of the bank’s ongoing efforts to improve cash handling, enhance security, and promote the wider adoption of electronic payment methods for greater convenience and safety.
These revisions, aimed at streamlining cash operations and reducing the risks associated with physical currency, will apply nationwide, affecting individuals, corporate customers, and financial institutions alike.
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Here are the 5 Key Updates to note:
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No Limit on Cash Deposits
The CBN has removed the cumulative cash deposit limit. This means there will no longer be a restriction on the total amount of cash individuals or businesses can deposit. In addition, all fees previously imposed on excess cash deposits have been abolished, allowing for more flexibility in cash handling. -
Weekly Cash Withdrawal Limits
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Individuals: The limit for cash withdrawals has been set at ₦500,000 per week. Any withdrawal above this amount will incur a 3% fee on the excess amount.
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Corporate Customers: The weekly withdrawal limit for corporate accounts has been set at ₦5,000,000. Withdrawals above this limit will attract a 5% fee on the excess amount.
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Discontinuation of Special Cash Withdrawal Approvals
Special approvals that allowed for higher-than-usual monthly cash withdrawals will no longer be applicable. This change aligns with the CBN’s drive to curb excess cash movement and encourage electronic transactions. -
ATM Cash Withdrawal Limits
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Daily Limit: ₦100,000 per customer.
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Weekly Limit: ₦500,000 maximum.
Both ATM and Point of Sale (POS) withdrawals will count towards the weekly withdrawal limit, reinforcing the bank’s focus on reducing the reliance on cash and promoting digital payment systems.
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Third-Party Cheque Encashment
The limit for over-the-counter encashment of third-party cheques remains capped at ₦100,000. This amount will also be included in the weekly withdrawal limit, ensuring consistency in cash withdrawal policies across all platforms.
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These policy changes are designed to encourage a shift towards cashless transactions, reducing the security risks associated with handling large amounts of physical currency, while also boosting the adoption of digital payment systems.
As Nigeria continues to push for financial inclusion and modernisation, these updates are an important step in shaping the country’s evolving financial landscape.
Sunday Michael Ogwu is a Nigerian journalist and editor of Pinnacle Daily. He is known for his work in business and economic reporting. He has held editorial roles in prominent Nigerian media outlets, where he has focused on economic policy, financial markets, and developmental issues affecting Nigeria and Africa more broadly.
