The Central Bank of Nigeria (CBN) has imposed a new restriction on transactions for newly activated mobile banking applications, limiting transfers to N20,000 within the first 24 hours of account activation. The directive, issued in a circular dated March 12, 2026, targets banks, payment service providers, and other financial institutions as part of efforts to strengthen the security of Nigeria’s instant payment ecosystem.
Brandspur Banking News Desk reports that the new measures will come into effect on July 1, 2026, giving financial institutions time to adjust their systems to comply with the updated requirements. Banks are mandated to enforce the N20,000 cap on both incoming and outgoing transactions for newly opened accounts, while institutions may impose lower thresholds according to their internal risk frameworks.
For existing customers using mobile banking apps on a new device, the CBN requires an outflow limit of N20,000 for the first 24 hours. This move aims to curb risks linked to account takeovers, identity theft, and unauthorised device migration, which have become more prevalent as digital financial services expand nationwide.
The apex bank also introduced mandatory device binding for mobile banking apps, restricting usage to a single device at any time. Any migration to a new device will trigger a re-authentication process to verify the account holder’s identity. Additionally, banks are directed to implement enhanced multi-factor authentication for first-time logins on new devices.
To further protect consumers, the CBN has made it possible for customers to opt out of instant payment services temporarily, while retaining the ability to perform in-person transactions at their financial institution. Customers may also voluntarily adjust their transaction limits within the existing maximum thresholds of N25 million for individuals and N250 million for corporate accounts, subject to enhanced due diligence.
The directive stipulates that all online account openings and reactivations must undergo “liveliness checks” to confirm physical presence, and validations must be cross-checked in real time with the Bank Verification Number and National Identity Number databases. Financial institutions are also required to deploy enterprise fraud monitoring systems capable of real-time tracking for both inflows and outflows to detect suspicious activity promptly.
CBN emphasised that these measures represent the minimum operational standards for instant payment services in Nigeria, reinforcing safeguards against digital financial fraud while enhancing consumer protection across the country.
