The Central Bank of Nigeria (CBN) has announced the removal of the cash deposit limit and increased the weekly cash withdrawal limit across all channels to N500,000, up from the previous N100,000.
The policy change was communicated to all banks in a circular titled “Revised Cash-Related Policies”, signed by Dr. Rita Sike, Director of the Financial Policy & Regulation Department.
According to the CBN, the revisions are aimed at moderating the rising cost of cash management, addressing security concerns, and curbing money laundering risks associated with Nigeria’s heavy reliance on cash. The apex bank noted that earlier cash-related policies were intended to reduce cash usage and encourage adoption of electronic payment channels, but evolving circumstances necessitated an update.
Key Changes Effective January 1, 2026:
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Deposit Limit: The cumulative cash deposit limit has been removed. Fees previously charged on excess deposits will no longer apply.
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Weekly Withdrawal Limit: Individuals can now withdraw up to N500,000 weekly across all channels, while corporates have a limit of N5 million. Withdrawals above these thresholds will incur excess withdrawal charges.
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Special Monthly Authorization: The monthly authorisation allowing individuals to withdraw N5 million and corporates N10 million has been abolished.
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ATM Withdrawals: Daily ATM withdrawals remain capped at N100,000 per customer, with a maximum weekly limit of N500,000 included in the overall weekly withdrawal limit.
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Excess Withdrawal Charges: Withdrawals above stipulated limits will attract charges of 3% for individuals and 5% for corporates. Fees will be shared 40% to the CBN and 60% to the operating bank.
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ATM Currency Denominations: Banks are required to load all currency denominations in ATMs.
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Over-the-Counter Cheques: Encashment of third-party cheques remains capped at N100,000 and counts towards the cumulative weekly limit.
Banks are also required to submit monthly returns to relevant supervisory departments, including the Banking Supervision Department, Other Financial Institutions Supervision Department, and the Payments System Supervision Department.
The CBN clarified that accounts of federal, state, and local governments, as well as microfinance and primary mortgage banks held with commercial and non-interest banks, are exempt from the new withdrawal and excess-fee rules. However, the long-standing exemption previously enjoyed by embassies, diplomatic missions, and aid-donor agencies has been removed.
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