Bolaji Idowu
The Central Bank of Nigeria (CBN) has announced a comprehensive revision of its cash-handling policies, introducing new nationwide withdrawal limits and removing the cumulative cash deposit cap for bank customers.
In a circular dated December 2, 2025, and signed by the Director of the Financial Policy and Regulation Department, Dr Rita I. Sike, the apex bank said the policy review was aimed at reducing the rising cost of cash management, strengthening security around cash movement, and curbing money laundering in an economy still heavily reliant on physical currency.
The CBN noted that earlier cash policies were designed to respond to prevailing economic conditions at the time, but said there was now a need to adjust those rules to reflect current realities.
Under the revised framework, the cumulative cash deposit limit has been completely removed, and banks are no longer permitted to charge penalties on deposits exceeding previous thresholds. The apex bank said the move is expected to encourage increased deposits and deepen liquidity within the financial system.
The CBN announced that individual customers are now limited to ₦500,000 in cumulative weekly cash withdrawals, covering all channels including Automated Teller Machines (ATMs), Point of Sale (PoS) terminals, and over-the-counter transactions.
For corporate account holders, the maximum weekly withdrawal limit has been set at ₦5 million.
Withdrawals above the stipulated limits will attract excess withdrawal charges of 3 per cent for individuals and 5 per cent for corporate customers. The charges will be shared between the CBN and the financial institutions in a 40:60 ratio, respectively.
The apex bank also discontinued the special monthly cash withdrawal waivers of ₦5 million for individuals and ₦10 million for corporate entities, stating that such exemptions will no longer apply.
“These policies, issued over the years in response to evolving circumstances in cash management, were intended to reduce cash usage and encourage the accelerated adoption of electronic payment channels. With the effluxion of time, the need has arisen to streamline the provisions of these policies to reflect present-day realities,” the CBN stated.