By Fatima Mukhtar
The Central Bank of Nigeria (CBN) has announced sweeping changes to the nation’s cash-handling regulations, unveiling a new policy that removes deposit limits and introduces more flexible withdrawal options for account holders across the country.
In a circular released on Wednesday, the apex bank confirmed that all cumulative limits on cash deposits have now been scrapped, allowing individuals and businesses to pay any amount of cash into their bank accounts without restrictions. The previous deposit caps had forced many Nigerians to stagger large deposits or face additional processing fees.
However, while deposits are now fully unrestricted, the CBN maintained the existing weekly cash-withdrawal limits of ₦500,000 for individuals and ₦5 million for corporate accounts. The bank also introduced a new option that allows customers to withdraw amounts exceeding those limits — but with a penalty fee. Individuals will pay 3%, while corporate account holders will pay 5% on any withdrawal above the weekly threshold.
The circular also noted that the provision which previously allowed customers to request special approval for large monthly withdrawals has been discontinued. This means excess cash withdrawals will now only be possible through the newly introduced fee system.
ATM restrictions remain unchanged, with customers still limited to ₦100,000 per day and ₦500,000 per week via automated teller machines. POS withdrawal limits also remain in place.
Banks will be required to submit monthly reports to the CBN for all cash deposits and withdrawals that exceed set thresholds as part of the updated monitoring framework.
According to the CBN, the policy adjustment aims to reduce the cost of cash management, strengthen transparency in financial transactions, and encourage the continued transition toward a more digital, cash-less economy.
The new rules take effect from January 1, 2026
About The Author
