The Central Bank of Nigeria (CBN) has announced a daily cash withdrawal limit of N100,000 per customer on Point-of-Sale (PoS) terminals, as part of its ongoing efforts to promote a cashless economy.
In a circular titled ‘Cash-out limits for agent banking transactions’ sent to deposit money banks, microfinance banks, mobile money operators, and super-agents, the apex bank outlined measures to enhance transaction security, combat fraud, and standardize operational practices across the industry.
The circular highlighted several measures for immediate compliance:
A weekly cash withdrawal limit of N500,000 per customer across all channels.
A daily PoS cash-out limit of N100,000 per customer.
A cumulative daily cash-out limit of N1,200,000 for each agent.
Separation of agency banking from merchant activities, using an approved Agent Code 6010 for transactions.
Oversight and reporting requirements for agent banking activities to prevent unauthorized transactions.
CBN emphasized that principals of agents will be fully responsible for any violations and will be monitored through impromptu back-end configuration checks.
It also directed that all transactions and balances in agent float accounts must be electronically reported to the Nigeria Inter-Bank Settlement System (NIBSS).
The apex bank warned that non-compliance with the guidelines would attract penalties, including monetary fines and administrative sanctions.
This move aligns with the CBN’s broader strategy to transition Nigeria toward a cashless economy while addressing fraud risks and improving transparency in agent banking operations.