The Central Bank of Nigeria (CBN) has announced a new daily cash withdrawal limit of N100,000 per customer for point-of-sale (PoS) transactions.
This directive, outlined in a circular titled “Cash-out Limits for Agent Banking Transactions,” was sent to deposit money banks (DMBs), microfinance banks, mobile money operators, and super-agents. According to the CBN, the policy aligns with its efforts to promote a cashless economy, address operational challenges, and combat fraud.
Key highlights of the directive include:
1. A weekly cash withdrawal limit of N500,000 per customer across all channels.
2. A daily cash-out limit of N100,000 per customer on PoS terminals.
3. A maximum daily cumulative cash-out limit of N1,200,000 for each agent.
4. Clear separation of agent banking from merchant activities, with agents required to use the approved Agent Code 6010.
5. Mandatory use of agent float accounts for all agency banking transactions.
6. Strict monitoring of agents’ activities, including oversight of BVN-linked accounts.
7. Daily transaction reports sent electronically to NIBSS for CBN review.
The CBN emphasized that principals of agent banking operations will be held accountable for any non-compliance. Penalties for breaches of the policy may include monetary fines and administrative sanctions.
Additionally, the CBN warned that it will conduct routine checks, including impromptu system audits, to enforce compliance.
This move is part of broader efforts to enhance financial transparency and standardize agent banking operations in Nigeria.
