Nigeria’s financial landscape is set for another shift as the Central Bank prepares to enforce new cash withdrawal rules from January 2026. The policy ends the special authorisation that once allowed individuals to take out ₦5 million and corporates ₦10 million monthly. The CBN said the revision reflects the need to streamline old cash directives and align them with current realities.
The details were released in a circular signed by Dr Rita I. Sike of the Financial Policy and Regulation Department. She explained that the earlier framework had been shaped by changing economic conditions, yet the country’s heavy dependence on physical cash still comes with high costs and security risks. She noted that previous policies aimed to reduce cash usage and deepen electronic payment adoption, but the time had come to review and consolidate them.
According to the circular, “these policies, issued over the years in response to evolving circumstances in cash management, sought to reduce cash usage and encourage accelerated adoption of other payment options, particularly electronic payment channels.” The bank said a more unified set of rules will now help address money laundering risks linked to large cash movements.
What the New Limits Mean for Nigerians
Under the new cash withdrawal rules, individuals will be able to withdraw up to ₦500,000 weekly, while corporate bodies will have a limit of ₦5 million. Withdrawals above these amounts will attract excess charges of three percent for individuals and five percent for corporates.
These fees will be shared between the CBN and financial institutions. Daily ATM withdrawals will now be capped at ₦100,000 per customer, although users may still reach a total of ₦500,000 weekly across all channels. These ATM transactions will count toward the weekly limit, just as they do for over-the-counter withdrawals.
A significant change is the end of the special authorisation that once granted single monthly withdrawals of ₦5 million for individuals and ₦10 million for organisations. The CBN also confirmed that all denominations may now be loaded into ATMs to improve access. Third-party cheque encashment remains limited to ₦100,000 and forms part of the weekly total.
Banks will be required to file monthly reports on withdrawals and deposits exceeding the approved limits. They must also maintain separate accounts for the processing charges imposed on excess cash transactions.
Some exemptions remain. Accounts belonging to federal, state and local government revenue services are not subject to the new limits, and neither are microfinance or primary mortgage institutions operating with commercial or non-interest banks. However, earlier exemptions granted to embassies, diplomatic missions and donor agencies have now been removed.
The CBN added that while the circular does not invalidate every previous directive, it supersedes several earlier cash policies listed in its appendices.
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