CBN Introduces New Withdrawal Fees for Individuals and Corporations Effective January 2026

The Central Bank of Nigeria (CBN) has rolled out revised cash withdrawal policies that introduce fresh fees for individuals and corporates who exceed set weekly withdrawal limits. The updated rules, announced in a circular on Tuesday and signed by Dr Rita I. Sike, Director of the Financial Policy & Regulation Department, will take effect on January 1, 2026.

The apex bank explained that the changes are part of broader efforts to manage rising cash-handling costs, curb security risks, and encourage digital payment adoption across the country.

3% and 5% Fees for Exceeding Weekly Withdrawal Limits

Under the new framework, weekly cumulative withdrawals that exceed the approved limits will attract additional fees:

• Individuals: 3% fee for withdrawals above N500,000
• Corporations: 5% fee for withdrawals above N5 million

The fee-sharing arrangement allocates 40% of the charges to the CBN and 60% to the bank or financial institution facilitating the withdrawal.

Previously, withdrawals beyond the limit were simply not permitted. With this revision, customers may now withdraw above the threshold but must pay the associated fees.

ATM Limits Remain Unchanged

The CBN confirmed that ATM withdrawal limits stay the same. Nigerians can still withdraw:

• N100,000 daily per customer
• Up to N500,000 weekly

Additionally, the special monthly authorisation allowing individuals to withdraw N5 million and corporates N10 million once a month has been scrapped.

The circular also states that all currency denominations may now be loaded into ATMs.

Other Key Policy Updates

The CBN introduced several additional revisions as part of its cash management reforms:

• Third-party cheques remain capped at N100,000 for over-the-counter encashment.
• Deposit Money Banks (DMBs) must submit monthly reports on all cash withdrawals above the limits and on cash deposits.
• Banks must open separate accounts to hold processing charges collected from excess withdrawals.
• The previous cumulative deposit limit and associated excess deposit fees have been discontinued.

CBN’s Reforms Aim to Strengthen Financial System Integrity

These revised policies come amid a series of sweeping regulatory reforms by the CBN aimed at ensuring transparency, accountability, and responsible operations across the financial sector.

Earlier this week, the apex bank released a proposed guideline on managing Authorised Push Payment (APP) fraud, stating that victims will have 72 hours to report incidents. Banks will then be required to investigate and issue refunds within defined timelines.

According to the CBN, the updated policies support its commitment to maintaining a sound and secure financial system, while also addressing Nigeria’s continued reliance on cash and the rising cases of electronic fraud.