CBN Introduces ₦100,000 Daily Cash-Out Limit to Boost Cashless Economy

The Central Bank of Nigeria (CBN) has announced new regulations to enhance Nigeria’s cashless economy, setting daily and weekly cash-out limits for Point of Sale (POS) agents. Effective immediately, the policy introduces a ₦100,000 daily cash-out limit per customer, a ₦1,200,000 cumulative daily limit for POS agents, and a ₦500,000 weekly withdrawal cap for individuals across all banking channels.

Outlined in a directive signed by Oladimeji Yisa Taiwo of the Payments System Management Department, the policy aims to streamline agency banking operations, reduce fraud, and promote electronic payment adoption. 

Key highlights of the directive state as follows:

• Issuers shall set a cash withdrawal limit (cash-out) per customer (regardless of channel) to ₦500,000.00 per week.
• Ensure that all agent banking terminals are set to a daily maximum transaction cash-out limit of ₦100,000.00 per customer.
• Ensure that each agent’s daily cumulative cash-out limit shall not exceed ₦1,200,000.00.
• Ensure that agent banking services are clearly demarcated from merchant activities and that agents apply the approved Agent Code 6010 for agent banking activities.
• Ensure that agency banking activities are consummated exclusively through agent float accounts maintained with the principals.
• Monitor accounts associated with the agents’ BVN(s) with a view to identifying agent banking activities which may be conducted outside the designated float account(s).
• Ensure that all agent terminals are connected to a PTSA.
• Ensure that all daily transactions per agent, including withdrawals, limits of transactions and balances in the float accounts of each agent, are sent electronically to NIBSS as a report to the CBN. The template of this report will be sent to principals.

The initiative underscores the CBN’s commitment to creating a secure, transparent financial ecosystem while holding principals accountable for their agents’ activities. By addressing operational inconsistencies and fostering digital payment adoption, the CBN continues to drive the transformation of Nigeria’s financial landscape.