The Central Bank of Nigeria has unveiled a new set of guidelines for cash handling. Under the policy, individuals can withdraw a maximum of N500,000 weekly, while corporates are capped at N5 million. The guidelines were issued in a circular released on December 2.
The circular, signed by Rita Sike, Director of Financial Policy and Regulation, states that the measures will take effect on January 1, 2026. With the rollout of the new framework, the special authorisation window that previously allowed individuals to withdraw up to N5 million and corporates up to N10 million will be scrapped.
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Daily ATM withdrawals are also capped. Individuals can access only N100,000 per day, which forms part of their N500,000 weekly limit.
Withdrawals above the approved thresholds will attract an “excess withdrawal fee.” Individuals will pay 3 percent on the excess amount, while corporations will pay 5 percent. The revenue from these charges will be shared between the CBN and financial institutions, with the apex bank receiving 40 percent and banks retaining 60 percent.
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The CBN has also retained the N100,000 limit for over-the-counter third-party cheque withdrawals.
According to the apex bank, the policy is aimed at reducing the rising cost of cash management and curbing money-laundering risks linked to heavy cash usage. It is also designed to encourage wider adoption of electronic payment channels.
In a significant shift for businesses and traders, the CBN has removed the cumulative cash deposit limit. This eliminates the penalties previously imposed on customers who deposited cash above specified thresholds. The circular makes clear that fees for excess cash deposits will no longer apply.