The Central Bank of Nigeria (CBN) has announced a major revision of its cash withdrawal rules, set to take effect from January 1, 2026.
The updated policy ends the previous special authorization allowing individuals to withdraw ₦5 million and corporates ₦10 million once per month.
According to a circular released on Tuesday, December 2, 2025, and signed by Dr. Rita I. Sike, Director of the Financial Policy & Regulation Department, the revision aims to streamline cash management, reduce associated costs, strengthen security, and mitigate money laundering risks tied to the economy’s reliance on physical currency.
“These policies, issued over the years in response to evolving circumstances, sought to reduce cash usage and encourage accelerated adoption of electronic payment channels. With the passage of time, it has become necessary to update these provisions to reflect present-day realities,” the CBN stated.
Under the new rules:
Individuals will be allowed to withdraw up to ₦500,000 weekly across all channels.
Corporate entities will be limited to ₦5 million weekly.
Withdrawals exceeding these limits will incur excess withdrawal fees of 3% for individuals and 5% for corporates, with fees shared between the CBN and financial institutions.
Daily ATM withdrawals will be capped at ₦100,000 per customer, with a weekly maximum of ₦500,000, counted toward the cumulative weekly limit.
All currency denominations can now be loaded into ATMs.
Over-the-counter encashment of third-party cheques remains capped at ₦100,000 and counts toward the weekly withdrawal limit.
Deposit Money Banks are required to submit monthly reports on cash withdrawals exceeding the limits, as well as on cash deposits, to the relevant supervisory departments. Banks must also maintain separate accounts to track processing charges collected on excess withdrawals.
Exemptions apply to revenue-generating accounts of federal, state, and local governments, as well as accounts of microfinance banks and primary mortgage banks. However, previous exemptions for embassies, diplomatic missions, and aid-donor agencies have been withdrawn.
The CBN emphasized that the circular does not override certain existing directives but supersedes others, as detailed in its appendices, ensuring clarity for financial institutions and customers alike.
