Central Bank of Nigeria (CBN) Revises Cash-Handling Rules for 2026
Starting January 1, 2026, Nigeria’s apex bank will implement new nationwide cash-management rules under a circular titled “Revised Cash-Related Policies.”
These changes affect both cash deposits and withdrawals — aiming to modernize cash flow controls, curb illicit cash usage, and align banking operations with evolving economic realities.
Key Changes at a Glance
Deposit Limits Removed
The previous cap on cumulative cash deposits by individuals and companies has been abolished.
The fees that used to apply for exceeding deposit thresholds have also been eliminated.
Implication: Customers can now deposit any amount of cash into their bank accounts without restriction or penalty — a move expected to boost liquidity in the banking system.
New Withdrawal Limits & Fees
Effective January 2026, withdrawals across all channels (ATMs, POS, bank counters, cheques) will be subject to a weekly cap:
Account Type Weekly Withdrawal Limit (Any channel)
Individuals ₦500,000
Corporate entities ₦5,000,000
Daily ATM withdrawals are capped at ₦100,000 per customer, but this still counts toward the weekly limit.
The “special monthly authorisation” that previously allowed individuals to withdraw ₦5 million and corporates ₦10 million once per month has been abolished.
Any withdrawals above the weekly limits will attract excess withdrawal fees: 3% for individuals, 5% for corporates.
Rationale Behind the Policy Shift
According to the CBN, these changes reflect “present-day realities.” The earlier restrictions, introduced years ago, sought to reduce Nigeria’s heavy reliance on cash — partly to curb risks like money laundering, illicit cash flows, and security issues related to high-volume cash handling.
With deposit limits removed, the bank aims to ease burdens on customers and improve banking system liquidity. Meanwhile, withdrawal caps and fees are intended to discourage excessive cash withdrawals and further encourage adoption of alternative payment channels (e.g. electronic banking, POS, transfers), aligning with a broader push towards cashless transactions.
What This Means for Everyday Nigerians
You can deposit any amount of cash into your bank account without restrictions or penalties. Good for businesses, savings, and remittances.
Frequent large cash withdrawals will be limited. If you withdraw more than ₦500,000 in a week (or ₦5 million for corporate accounts), you’ll pay extra fees so plan ahead.
If you depend on daily ATM access, note that the daily cap is ₦100,000, which contributes to the weekly limit.
The policy is likely to further push Nigerians toward digital payments and banking channels, reducing reliance on cash.
Final Thoughts
The 2026 cash-management rules from the CBN mark a major overhaul in how Nigerians interact with cash. Removing deposit limits should boost flexibility and ease banking, but the new withdrawal caps and penalties will require individuals and businesses to plan cash needs more carefully.
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