The Central Bank of Nigeria (CBN) has issued revised cash withdrawal guidelines that will take effect from January 2026, ending the special dispensation that previously allowed individuals to withdraw ₦5 million and corporate bodies ₦10 million once monthly with authorisation.
According to the apex bank, the updated rules reflect the need to streamline earlier cash management policies introduced at different times in response to changing economic conditions. The bank said the revisions were necessary to reduce the cost of managing cash, enhance security, and curb money-laundering risks associated with Nigeria’s heavy dependence on physical currency.
The policy changes were contained in a circular dated Tuesday, December 2, 2025, signed by the Director of the Financial Policy & Regulation Department, Dr. Rita I. Sike. The circular noted that earlier policies aimed to reduce cash usage and promote electronic payment channels but that new realities now require a more coherent framework.
Effective January 1, 2026, individuals will be permitted to withdraw a maximum of ₦500,000 weekly across all channels, while corporate entities will be limited to ₦5 million. Withdrawals that exceed these thresholds will attract an excess withdrawal fee of 3 percent for individuals and 5 percent for corporates, with the charges shared between the CBN and the financial institutions.
Daily ATM withdrawals will be capped at ₦100,000 per customer, with a total weekly maximum of ₦500,000. These ATM transactions will count toward the overall weekly withdrawal limit. The CBN also confirmed that all currency denominations may now be loaded into ATMs, while the over-the-counter encashment limit for third-party cheques remains ₦100,000 and will also form part of the weekly limit.
Deposit Money Banks are required to submit monthly reports on cash withdrawals and deposits above the specified limits to the relevant supervisory departments. They must also maintain separate accounts to warehouse processing charges collected on excess withdrawals.
The new policy includes several exemptions: revenue-generating accounts of federal, state, and local governments, as well as accounts belonging to microfinance banks and primary mortgage banks, will not be subject to the withdrawal limits or excess withdrawal fees. However, exemptions previously granted to embassies, diplomatic missions, and donor agencies have been withdrawn.
The CBN added that the circular does not invalidate all previous directives on cash withdrawal limits but supersedes some of them, as detailed in the attached appendices.
