The Central Bank of Nigeria (CBN) has scrapped limits on cash deposits and raised the cumulative weekly cash withdrawal ceiling to N500,000 for individuals, a huge revision of its cash-handling rules set to take effect from 1 January 2026.
According to reports, the policy changes were announced in a circular titled “Revised Cash-Related Policies” and signed by Dr Rita Sike, Director of the Financial Policy and Regulation Department.
In it, the apex bank said the adjustments were part of ongoing efforts to ease the cost of managing cash, address security issues, and mitigate money-laundering risks linked to Nigeria’s high dependence on physical currency.
The CBN recalled that earlier restrictions were introduced to encourage a shift towards electronic payments but said the evolving economic landscape now required reforms that “reflect present-day realities.”
Under the revised framework, the cumulative limit on cash deposits has been abolished and banks will no longer charge customers for exceeding deposit thresholds.
For withdrawals, the weekly limit across all channels has been raised to N500,000 for individuals and N5 million for corporate bodies.
Withdrawals above these levels will attract excess charges of 3 per cent for individuals and 5 per cent for corporates, shared in a 40:60 ratio between the CBN and the customer’s bank.
Also, the special monthly authorisation, which previously allowed individuals to withdraw N5 million and companies N10 million once a month, has been discontinued.
The development forms part of the overall withdrawal limit applicable to ATMs, point-of-sale terminals, and over-the-counter transactions.
Banks have also been instructed to load all denominations into ATMs to improve currency availability.
The cap on over-the-counter encashment of third-party cheques stays at N100,000, which will count towards customers’ weekly withdrawal totals.
Banks must also file monthly compliance reports to the Banking Supervision Department, Other Financial Institutions Supervision Department, and the Payments System Supervision Department.
The CBN maintained accounts belonging to federal, state and local government revenue agencies, as well as the accounts of microfinance and primary mortgage banks, will be exempt from the revised withdrawal and fee rules.
However, diplomatic missions and aid-donor agencies will no longer enjoy exemptions previously granted under earlier guidelines.
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