The Central Bank of Nigeria (CBN) has scrapped all cash-deposit limits for bank customers, while maintaining existing weekly cash withdrawal ceilings, under a new cash management policy that will take effect from January 1, 2026.
In a circular issued on Tuesday and signed by the Director of the Financial Policy and Regulation Department, Dr. Rita Sike, the apex bank announced that the cumulative deposit limit has been “hereby removed,” adding that “the fee for excess deposit shall no longer apply.” This effectively ends charges previously imposed on customers who deposited cash above set thresholds, a measure first introduced in 2019 to reduce cash in circulation and boost government revenue collection.
The new framework, described by the CBN as a move “to reflect present-day realities,” maintains the current restrictions on cash withdrawals but lifts all penalties and limitations on cash deposits. The policy shift is seen as an effort to ease banking operations for individuals and businesses while still encouraging electronic transactions.
The circular did not specify adjustments to the existing withdrawal limits, which currently stand at N500,000 per week for individuals and N5,000,000 for corporate organisations, with amounts above those attracting processing fees.
Financial analysts suggest the removal of deposit limits could improve liquidity for small businesses and reduce informal cash holdings, even as the CBN continues its push toward a cash-lite economy.
The policy is expected to be fully operational across all deposit money banks and other financial institutions from the first day of 2026.
