N100,000 POS Withdrawal Limit: Court Ruling Sparks Financial Adjustments

Navigating the Court’s Decision to Restrict Daily POS Withdrawals to N100,000

The Central Bank of Nigeria (CBN) has introduced new regulations affecting Point-of-Sale (PoS) transactions:

• Daily Withdrawal Limit per Customer: PoS agents are now restricted to a maximum cash-out of ₦100,000 per individual customer per day.
• Agent Daily Cumulative Limit: Each PoS agent’s total daily cash-out transactions must not exceed ₦1,200,000.
• Weekly Withdrawal Limit per Customer: Customers are limited to a maximum cash withdrawal of ₦500,000 per week across all channels.

These measures aim to promote the cashless policy, enhance the use of electronic payment systems, and establish uniform operational standards in agency banking operations.

The CBN has mandated that all agent banking transactions be conducted exclusively through float accounts maintained with their principal institutions.

Additionally, agent banking services must be clearly separated from other merchant activities, with agents required to use the approved Agent Code 6010 for transactions.

To ensure compliance, the CBN will conduct periodic oversight and impromptu backend configuration checks. Violations of these directives may result in penalties, including monetary fines and administrative sanctions.

These new regulations are expected to impact PoS operators and customers, particularly in areas with limited banking infrastructure.

The CBN urges all stakeholders to adhere strictly to the directives to facilitate the advancement of Nigeria’s cashless economy.