The Central Bank of Nigeria (CBN) has clarified that its revised cash withdrawal limits will not apply to dollar transactions or other foreign currency-related dealings, directing banks and financial institutions to exclude such operations from the new rules.
The clarification comes as Nigerians prepare for the implementation of the updated cash-related policy, which takes effect on January 1, 2026.
Under the new framework, individuals can withdraw a cumulative N500,000 per week across all channels — ATMs, POS terminals and over-the-counter transactions — while corporate account holders are allowed up to N5 million weekly.
CBN Director, Financial Policy & Regulation Department, Dr. Rita I. Sike, said the policy aims to reduce the rising cost of cash management, improve the security of cash movement, and minimise money-laundering risks.
In a document titled “FAQs Revised Cash-Related Policies,” released at the weekend, the apex bank stated clearly that:
“No, the limits do not apply to foreign currency withdrawals. However, the limit applies to local currency (Naira) withdrawal using a foreign card.”
The CBN also explained how charges are calculated for withdrawals above approved thresholds.
It said: “Fees are calculated as a percentage of the excess over the prescribed limit. For instance, if an individual withdraws a total of N700,000 in a week, the person has exceeded the weekly limit of N500,000 by N200,000. With a processing fee of three per cent, the individual will be charged N6,000 only.”
Banks have been directed to enforce the policy by adjusting system limits, monitoring compliance, filing required reports, and applying charges where necessary.
According to the circular, the rules apply to all deposit-taking institutions — including commercial, merchant, non-interest, payment service, primary mortgage and microfinance banks.
The CBN added that the policy may be reviewed periodically “to reflect changes in the economy.”
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