CBN Introduces New Agent Banking Guidelines with ₦1.2 Million Daily Transaction Limit

The Central Bank of Nigeria (CBN) has unveiled a revised operational framework for agent banking, setting a daily transaction cap of ₦1.2 million per Point-of-Sale (POS) agent and a ₦100,000 limit for individual customers. The guidelines, signed by Musa Jimoh, Director of Payments System Management, aim to enhance oversight, strengthen financial stability, and protect consumers.

Effective immediately, the new rules mandate that all agent banking activities be conducted through dedicated accounts or wallets maintained by principal financial institutions. Using non-designated accounts for such operations will attract regulatory sanctions. The framework also introduces stricter controls, with agent location and exclusivity guidelines enforceable from April 1, 2026.

Key Provisions of the New Guidelines

• Transaction Caps: The ₦1.2 million daily cap for POS agents and ₦100,000 for customers is designed to curb misuse and enhance transparency within the agent banking network.
• Agent Accountability: Agents found guilty of fraud or misconduct will face penalties, including blacklisting or contract termination. Financial institutions, referred to as “principals,” must publish and regularly update lists of registered agents on their websites and within branches.
• Super Agent Requirements: To ensure wider coverage, super agents are required to maintain at least 50 sub-agents distributed across Nigeria’s six geopolitical zones. Agents are prohibited from relocating or closing business premises without prior written approval, and a 30-day notice must be displayed before any move.
• Real-Time Transactions: All transactions must now use secure, interoperable payment systems enabling instant settlements and reversals during system failures. Receipts must display the agent’s name and location, while audit and settlement records must be preserved for five years.
• Reporting Obligations: Financial institutions are required to submit monthly reports to the CBN, detailing transaction volumes, fraud cases, agent activity, and customer complaints, no later than the 10th day of the following month.

The CBN stated that these transaction caps and enhanced safeguards aim to protect consumers and ensure the integrity of the agent banking network. The move is expected to foster greater transparency and safeguard consumers, aligning with the bank’s broader financial inclusion goals.

The revised framework reflects the CBN’s commitment to modernizing Nigeria’s payment ecosystem, balancing innovation with regulatory oversight. Stakeholders are encouraged to comply with the new rules to avoid sanctions and contribute to a more robust financial system.

For further details, financial institutions and agents are advised to review the official circular released on Monday.