The Central Bank of Nigeria (CBN) has announced new cash-withdrawal regulations that will take effect on 1 January 2026, increasing the daily ATM limit to N100,000 and setting a total weekly withdrawal cap of N500,000 for individual customers.
The updated limits, which apply across all cash-access channels—including ATMs and point-of-sale (POS) terminals—were outlined in a circular released on Tuesday and signed by Rita Sike, Director of the Financial Policy & Regulation Department.
These new thresholds replace the stricter caps introduced in 2022, which limited ATM withdrawals to N20,000 per day and N100,000 per week. The revision marks a significant shift in the CBN’s strategy on cash circulation and management.
With the new policy, the CBN has ended the special waivers that previously allowed individuals to withdraw up to N5 million monthly and corporate entities up to N10 million monthly. Any withdrawal above the weekly limits will now attract penalty fees of 3% for individuals and 5% for corporate customers, with the charges shared 40% to the CBN and 60% to the customer’s bank.”
“The cumulative weekly withdrawal limit across all channels shall be N500,000 for individuals and N5 million for corporates. Withdrawals above these limits will attract excess withdrawal fees,” the circular stated. The measure is aimed at encouraging greater use of electronic payments while maintaining access to cash for everyday transactions.
According to the CBN, the revised rules are part of ongoing efforts to reduce the rising cost of cash management, enhance security, curb money laundering, and promote digital payments in a largely cash-dependent economy.
Banks are required to submit monthly reports detailing all withdrawals above the limits and all cash deposits. They must also maintain internal ledgers to account for fees collected from excess withdrawals.
The new circular also removes exemptions previously granted to embassies, diplomatic missions, and aid-donor agencies. Exemptions remain for:
Revenue-generating accounts of federal, state, and local governments
Accounts of microfinance banks and primary mortgage banks operating with commercial and non-interest banks
Additionally, the circular retains the N100,000 limit on over-the-counter encashment of third-party cheques, which will now count toward the weekly withdrawal total.
While some earlier directives remain in effect, the CBN clarified that several previous guidelines have been replaced with the updated provisions detailed in the circular’s appendices.
Analysts note that the higher daily ATM limit offers relief for everyday banking needs, while the weekly caps and excess withdrawal fees are likely to encourage wider adoption of digital payments.
The policy update follows the CBN’s October directive requiring all financial institutions to submit monthly reports on Point-of-Sale (POS) agent operations, part of a broader effort to improve oversight of cash transactions nationwide.
