The Federal Government has introduced fresh measures to strengthen financial discipline across Ministries, Departments and Agencies (MDAs), imposing new limits on reimbursable imprest and tightening oversight of public funds.
The directives are contained in the 2026 Annual General Imprest Warrant signed by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, and conveyed through a Federal Treasury Circular issued by the Office of the Accountant-General of the Federation.
The circular, dated June 3, 2026, and signed by the Accountant-General of the Federation, Shamseldeen Ogunjimi, authorises accounting officers across the three arms of government to approve funds for eligible imprest holders while establishing clear spending thresholds and compliance requirements.
Under the new guidelines, ministers are entitled to a maximum reimbursable imprest of ₦700,000, while permanent secretaries and directors-general are limited to ₦500,000. Directors and heads of departments may access up to ₦300,000, while heads of formations in states and other authorised imprest holders are capped at ₦100,000.
The Office of the Accountant-General said the measures align with Financial Regulation 1003 and are aimed at promoting accountability and prudent management of public resources.
“All Accounting Officers in the three arms of government, including Ministries, Extra-Ministerial Offices and Agencies, are hereby authorised to approve funds to eligible imprest holders,” the circular stated.
It added that the reimbursable imprest limits shall be ₦700,000 for ministers, ₦500,000 for permanent secretaries and directors-general, ₦300,000 for directors and heads of departments, and ₦100,000 for heads of formations and other authorised holders.
In a further move to tighten spending controls, the government restricted the frequency of imprest reimbursements.
“The frequency of reimbursement of any standing imprest shall normally be once in a quarter and shall not exceed twice in a quarter where the need arises,” the circular stated.
The government also directed accounting officers and expenditure controllers to ensure that procurements above ₦1 million are carried out through contract awards in accordance with existing procurement laws.
“All local procurement of stores and services costing above ₦1,000,000 shall be made only through the award of contracts, except as otherwise provided by the Public Procurement Act,” the circular noted.
The directive further emphasised strict compliance with regulations governing the management and retirement of imprest accounts.
To strengthen monitoring and accountability, all self-accounting ministries, extra-ministerial departments and agencies have been directed to submit returns to the Accountant-General within 30 days of the circular.
The returns must include details of the retirement of 2025 imprest allocations, as well as lists of approved imprest holders for 2026 and their locations.
The government also ordered imprest holders to operate dedicated operational bank accounts in line with the Federal Government’s electronic payment policy.
According to the circular, monthly reports detailing funds paid into the accounts and evidence of the retirement of such funds must be submitted to the Office of the Accountant-General.
The Accountant-General warned that the Treasury Inspectorate Department would conduct routine inspections throughout the financial year and impose sanctions for violations.
“Any breach of the regulations in the operation of imprest accounts shall lead to the withdrawal of the right to issue any imprest by the affected accounting officer, and appropriate sanctions shall be applied accordingly,” the circular stated.
The directive was addressed to senior government officials, including the Chief of Staff to the President, ministers, permanent secretaries, heads of extra-ministerial agencies, service chiefs, the Inspector-General of Police, chairmen of federal commissions and anti-corruption agencies, as well as heads of revenue-generating institutions.
Imprest is a cash advance provided to public officers to cover routine and urgent official expenses that may not require the full government procurement process.
Under Nigeria’s Financial Regulations, imprest holders are required to account for all expenditures with supporting documents and retire such advances before obtaining fresh approvals.
Successive administrations have sought to strengthen controls around imprest management following concerns raised by audit reports and oversight institutions over weak documentation, delayed retirement of advances and instances of misuse of public funds.
In recent years, the Federal Government has expanded the use of electronic payment systems, tightened treasury controls through the Treasury Single Account policy and strengthened compliance requirements for MDAs as part of broader public financial management reforms aimed at improving transparency, accountability and value for money in government spending.
The latest circular underscores the government’s determination to tighten oversight of cash advances and reinforce compliance with financial regulations across the federal public service.
