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The Central Bank of Nigeria (CBN) has announced the removal of the limit on cash deposits, increasing the weekly cash withdrawal limit across all channels to N500,000, up from N100,000.
The announcement was made on Wednesday in a circular to all banks titled “Revised Cash-Related Policies”, signed by Dr Rita Sike, Director, Financial Policy & Regulation Department.
The apex bank disclosed that the revisions are part of ongoing efforts to moderate the rising cost of cash management, address security concerns, and curb money laundering risks associated with the country’s heavy reliance on cash.
It said the cash-related policies previously issued in response to evolving circumstances were aimed at reducing cash usage and promoting the adoption of electronic payment channels.
CBN also noted that the need to streamline and update these provisions to reflect present-day realities became necessary.
The key changes will go into effect from January 1, 2026, and with the removal of the cumulative deposit limit, the fee previously charged on excess deposits will no longer apply.
Furthermore, he cumulative weekly withdrawal limit across all channels has been reviewed to N500,000 for individuals and N5 million for corporate bodies.
Any withdrawal above the aforementioned threshold attracts excess withdrawal charges as specified in the circular.
Additionally, the special monthly authorisation that allowed individuals to withdraw N5 million and corporates N10 million once a month has been abolished.
In the case of Automated Teller Machines (ATMs), daily withdrawal remains capped at N100,000 per customer, with a maximum of N500,000 weekly, which forms part of the overall weekly withdrawal limit applicable to all channels, including point-of-sale (POS) transactions.
According to the apex bank, excess withdrawals above the stipulated limits will attract charges of 3 per cent for individuals and 5 per cent for corporate customers, shared in the ratio of 40 per cent to the CBN and 60 per cent to the operating bank or financial institution.
Banks are also required to render monthly returns to the relevant supervisory departments, including the Banking Supervision Department, Other Financial Institutions Supervision Department, and the Payments System Supervision Department.
