The Central Bank of Nigeria (CBN) has unveiled revised guidelines for agent banking operations, introducing new transaction limits, geo-fencing requirements, and enhanced compliance standards to strengthen financial inclusion and improve service delivery across the country.
The updated framework, which takes effect on April 1, 2026, establishes minimum operating standards for agent banking, promotes responsible market conduct, and seeks to ensure the safety and efficiency of financial services delivered through agents.
The apex bank announced the new regulations in a circular dated October 6, 2025, addressed to all Deposit Money Banks (DMBs), Other Financial Institutions (OFIs), and Payment Service Providers (PSPs). The document was signed by Musa I. Jimoh, Director of the Payments System Policy Department.
According to the CBN, the guidelines replace all previous regulations on agent banking and are issued pursuant to its mandate to maintain financial system stability and deepen access to formal financial services.
The circular warned all stakeholders to ensure strict compliance, stressing that the CBN would “continue to monitor developments and issue guidance as may be appropriate.”
Under the new framework, agent banking — defined as the provision of financial services by third parties on behalf of licensed deposit-taking institutions — will be subject to tighter operational controls.
Among the key provisions, the CBN directed that each agent’s daily cumulative cash-out limit must not exceed ₦1.2 million, though the bank reserves the right to adjust these thresholds periodically in line with its extant Guide to Charges for Banks and Other Financial Institutions.
In addition, all devices deployed for agent banking must be geo-fenced or technologically tagged to function strictly within the agent’s registered business location to prevent unauthorised activities.
The framework also outlines the roles and obligations of key players in the agent banking ecosystem — including principals, super agents, agents, Payment Terminal Service Aggregators (PTSAs), and the CBN itself — covering Know Your Customer (KYC) procedures, anti-money laundering (AML) compliance, and transaction monitoring requirements.
Financial institutions are further mandated to ensure that all agent transactions remain within the regulatory limits specified by the apex bank.
The CBN noted that since the introduction of agent banking in 2013 and the licensing of super agents in 2015, access to financial services in Nigeria has expanded significantly, contributing to national financial inclusion goals.
However, the bank said the increasing sophistication of the agent banking ecosystem — driven by rapid technological advancement — made it necessary to consolidate and update existing rules.
“In furtherance of its mandate to promote a sound, safe and stable financial system under the CBN Act 2007, and its powers to regulate the business of banking under the Banks and Other Financial Institutions Act (BOFIA) 2020, the CBN hereby issues the Guidelines for the Operations of Agent Banking in Nigeria,” the circular stated.
It added that the review aims to “strengthen the enabling environment for offering safe financial services, particularly to the underbanked and those in remote areas.”
