JUST IN: CBN removes cash deposit limits, hikes weekly withdrawal cap to N500,000

The Central Bank of Nigeria (CBN) has scrapped restrictions on cash deposits and raised the weekly cash withdrawal limit for individuals to N500,000, up from N100,000, in a major overhaul of the country’s cash-related policies.

Announced in a circular titled “Revised Cash-Related Policies” and signed by Dr. Rita Sike, Director of Financial Policy & Regulation, the reforms aim to reduce the cost of cash management, enhance security, and curb money laundering risks linked to Nigeria’s heavy reliance on cash.

Effective January 1, 2026, the new rules remove cumulative deposit limits and abolish fees previously charged on excess deposits. The weekly withdrawal cap is set at N500,000 for individuals and N5 million for corporates, with excess withdrawals attracting 3% charges for individuals and 5% for businesses.

The special monthly authorisation allowing higher withdrawals – N5 million for individuals and N10 million for corporates – has been discontinued. ATM daily withdrawals remain capped at N100,000 per customer, forming part of the weekly limit that also applies to POS and over-the-counter transactions.

Banks have been instructed to load ATMs with all denominations and to report monthly to CBN supervisory departments. Certain accounts, including federal, state, and local government revenue accounts, as well as microfinance and primary mortgage bank accounts, are exempt from the new withdrawal limits and excess-fee charges, though exemptions for embassies and donor agencies have been removed.

The CBN said these measures reflect current realities and aim to balance electronic payment adoption with practical cash access for Nigerians.