CBN Issues Guidelines and Sets Daily Transaction Limit at N1.2m for Agent Banking

The Central Bank of Nigeria has issued a new framework to regulate agent banking nationwide.

The policy sets strict operational standards, enforces transparency, and limits daily cash-outs to ₦1.2 million per agent.

The Central Bank of Nigeria (CBN) has introduced a new regulatory framework for agent banking operations across the country, aimed at improving service standards, safeguarding consumers, and expanding financial inclusion.

The circular, signed by Musa Jimoh, Director of the Payments System Policy Department, stated that the updated framework takes immediate effect, while provisions relating to agent location and exclusivity will commence on April 1, 2026.

According to the apex bank, the policy is designed to establish “minimum operational standards” for agent banking and promote accountability and transparency within the system.

Under the new rules, all agent banking transactions must be conducted through dedicated accounts or wallets managed by licensed financial institutions. The use of personal or non-designated accounts for such activities is now prohibited and will attract sanctions. Agents found guilty of misconduct or fraud risk losing their licenses, termination of contracts, or permanent blacklisting.

To enhance transparency, financial institutions are required to publish and regularly update the list of their authorized agents on official websites. Each bank branch must also display the list of agents operating in its jurisdiction. In addition, super agents entities managing networks of smaller agents must operate at least 50 active agents across Nigeria’s six geopolitical zones to ensure wider access to financial services.

Agents are barred from relocating, closing, or transferring their business premises without written approval from their principal or super agent. Any planned relocation must be publicly announced at least 30 days in advance.

The framework also mandates real-time transactions using secure, interoperable payment systems, with instant reversals in cases of failure. Each transaction must generate a receipt showing the agent’s name and location, while audit records must be retained for at least five years.

The CBN set a daily cash-out limit of ₦1.2 million per agent and warned that non-compliance could attract penalties, including suspension, blacklisting, or license withdrawal.

According to the bank, the reforms are part of efforts to strengthen oversight, protect consumers, and build public trust in Nigeria’s fast-growing digital financial ecosystem.