The Central Bank of Nigeria (CBN) has introduced a new operational framework for agent banking, capping the daily cumulative transaction limit for Point-of-Sale (POS) agents at ₦1.2 million.
The revised guidelines aim to strengthen financial stability, enhance consumer protection, and improve oversight of agent operations across the country.
The policy, detailed in a circular dated October 6 and signed by Musa Jimoh, Director of the Payments System Management Department, applies immediately.
However, provisions concerning agent location restrictions and exclusivity will take effect from April 1, 2026.
According to the CBN, the new guidelines seek to set minimum operational standards, Promote financial inclusion, Ensure responsible conduct in the agent banking sector and Improve service delivery.
“The Guidelines aim to enhance agent banking to provide financial services, promote inclusion, encourage responsible market conduct, and improve service quality,” the circular stated.
Transaction Limits:
-
- POS agents: ₦1.2 million daily cash-out limit
- Individual customers: ₦100,000 daily transaction limit
These caps are designed to prevent abuse, promote transparency, and protect consumers.
- Dedicated Accounts:
All transactions must go through designated accounts or wallets tied to the principal financial institution. Using non-designated accounts is a regulatory offence and will attract sanctions. - Liability and Sanctions:
- Agents involved in fraud or misconduct will face personal liability, may be blacklisted, and can have agreements terminated.
- Institutions in violation risk penalties, including suspension from onboarding new agents, management changes, or licence revocation.
- Real-Time Transactions:
All agent operations must use secure, real-time systems to ensure instant settlements and reversals in case of failures. - Technology Requirements:
- POS devices must be geo-fenced to operate only within approved locations.
- Agents cannot relocate, transfer, or close shop without prior written approval from their principal or super agent.
- Transparency & Monitoring:
- Institutions must publish updated lists of all registered agents on their websites and within branches.
- Super agents must have at least 50 agents across all six geopolitical zones to ensure nationwide coverage.
- Customer Notification:
If an agent relocates, a 30-day notice must be displayed at the premises to inform customers. - Receipts & Records:
Every transaction receipt must include the agent’s name and GPS coordinates.
Records, including audit trails, must be kept for at least five years. - Reporting Obligations:
Financial institutions must file monthly reports to the CBN, covering:- Volume and value of transactions
- Number of active agents
- Fraud incidents
- Customer complaints
- Training records
Submissions are due no later than the 10th of each month.
“The CBN reserves the right to demand additional data, conduct inspections, and supervise agents or institutions directly as needed,” the circular noted.
