The Central Bank of Nigeria (CBN) has, in new agent banking guidelines, introduced tough sanctions of N20 million against Point-of-Sale (PoS) agent banking operators who alter their ownership structure without first securing formal regulatory approval.
Under the revised guidelines, violators will face a minimum fine of N20 million, with an additional N500,000 penalty accruing for each day the infringement continues.
This development is part of a broader framework aimed at tightening regulatory oversight in Nigeria’s rapidly expanding agent banking sector. According to a circular issued on October 6, 2025 (reference number PSP/DIR/CON/CWO/001/049), the apex bank made it clear that any change in ownership, acquisition, or merger involving Super Agents or other stakeholders must receive prior approval from the CBN. The document, titled Guidelines for the Operations of Agent Banking in Nigeria, was signed by Musa I. Jimoh, Director of the Payments System Policy Department.
While the guidelines take immediate effect, certain provisions, particularly those concerning agent location and exclusivity, will be enforced from April 1, 2026.
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The new framework outlines an extensive list of offences and corresponding sanctions that apply to financial institutions and agents operating within the sector.
Entities operating without a valid Super Agent license will be fined not less than N10 million, with an additional N200,000 for each day the violation persists. Those engaged in non-permissible agent banking activities will face fines starting from N5 million, daily penalties of N100,000, and may be required to forfeit any estimated profits gained from such activities.
Branding and advertising practices that contravene the guidelines will attract fines of no less than N2 million and an extra N50,000 for each day the violation continues. Failing to obtain CBN approval or a No Objection Letter when required will result in a N2 million fine imposed on the financial institution, with the same amount levied on each responsible director or senior management staff member.
Institutions that delay the submission of required periodic returns will incur fines starting at N2 million, in addition to N250,000 for each day of delay. Providing false or inaccurate information to the CBN will attract a minimum fine of N5 million, alongside the potential suspension or removal of the involved directors by the CBN Governor.
Failure to maintain proper accounting records will incur a minimum fine of N5 million for the financial institution. Where the breach is deemed wilful, the responsible officer will face an additional fine of N2 million.
Not responding to non-statutory CBN information requests within the prescribed period and format could result in fines of up to N5 million and an additional N100,000 per day until compliance is achieved.
In addition to the headline offence, changing a business name, corporate brand identity, or logo without the CBN’s approval or using names not previously approved will draw a fine of no less than N5 million, along with a mandatory reversion to the approved identity and a daily penalty of N100,000 for continued non-compliance.
Read also: CBN limits daily cash withdrawals via agent banking to N100,000
Violations of anti-money laundering (AML), combating the financing of terrorism (CFT), and countering proliferation financing (CPF) laws will attract a N10 million fine from the financial institution and N2 million from each board member involved. Additional penalties may follow under the CBN’s 2018 AML/CFT/CPF administrative sanctions regulations.
Where fraud or related offences occur, financial institutions are required to assist law enforcement agencies with investigations and prosecutions. If an agent is found to be involved, the principal institution must immediately suspend the agent pending the outcome of investigations and blacklist the agent if convicted.
Failure by principals or Super Agents to implement control measures such as geo-locking equipment used in agent banking will attract a minimum fine of N5 million, plus a daily penalty of N300,000 for the duration of non-compliance.
With these revised sanctions, the CBN aims to enforce stronger accountability and operational discipline among stakeholders in Nigeria’s agent banking system.