CBN raises withdrawal limits for individuals, businesses

Omeiza Bilal

The Central Bank of Nigeria (CBN) has raised weekly cash withdrawal limits to N500,000 for individuals and N5 million for corporate entities.

The new framework, announced will come into effect on January 1, 2026, also increases ATM withdrawal limits to N100,000 daily (capped at N500,000 weekly) and scraps the long-standing cumulative deposit limit, stating that the fee on excess cash deposits “shall no longer apply.”

In a circular signed by Director of the Financial Policy and Regulation Department, Rita Sike, the revisions aim to align cash management rules with current economic conditions.

The changes roll back the stricter cash policies introduced in December 2022 under former CBN Governor Godwin Emefiele, which capped over-the-counter withdrawals at N100,000 weekly for individuals and N500,000 for corporates.

The regulator said the adjustments are intended to reduce the rising cost of cash logistics, address security concerns associated with large cash movements, minimize money-laundering risks in a cash-heavy economy; encourage higher adoption of electronic payment channels.

The Apex Bank noted that cash policies “issued over the years in response to evolving circumstances” must now be streamlined, citing the “effluxion of time” and the changing dynamics of Nigeria’s payment ecosystem.

Special monthly withdrawal approvals of N5 million (individuals) and N10 million (corporates) abolished.

Excess cash withdrawals attract: 3 per cent fee (individuals); 5 per cent fee (corporates); Fees shared 40 per cent to CBN, 60 per cent to banks; All currency denominations may now be loaded into ATMs; Third-party cheque encashment limit remains N100,000.