Stephen Ukandu, Umuahia
The Central Bank of Nigeria (CBN) on Wednesday announced the removal of limits on cash deposits and a sharp increase in weekly cash withdrawal thresholds.
In a circular titled “Revised Cash-Related Policies” and issued to all banks, the apex bank raised the cumulative weekly withdrawal limit from N100,000 to N500,000 across all channels. The document was signed by Dr. Rita Sike, Director of the Financial Policy & Regulation Department.
According to the circular obtained by Ikengaonline, the revisions are part of ongoing efforts to reduce the rising cost of cash management, address security concerns, and curb money laundering risks associated with Nigeria’s heavy dependence on cash.
The CBN explained that previous cash-related policies were introduced to reduce cash usage and promote electronic payments, but the time had come to update the provisions to reflect current realities.
Effective January 1, 2026, the cumulative cash deposit limit and the associated excess deposit charges will no longer apply.
The circular also stated that the cumulative weekly withdrawal limit has been increased to N500,000 for individuals and N5 million for corporate entities. Withdrawals above these thresholds will attract excess withdrawal charges as outlined in the circular. Furthermore, the special monthly authorisation that allowed individuals to withdraw N5 million and corporates N10 million once a month has been abolished.
The CBN retained the daily Automated Teller Machine (ATM) withdrawal limit at N100,000 per customer, with a weekly maximum of N500,000. This weekly limit applies to all channels, including point-of-sale (POS) transactions.
Excess withdrawals above the approved limits will attract charges of 3% for individuals and 5% for corporate customers, to be shared in a 40:60 ratio between the CBN and the operating bank or financial institution.
