The Central Bank of Nigeria (CBN) has directed all banks and financial institutions to implement new measures aimed at ensuring the seamless use of foreign-issued payment cards within the country. In a circular dated December 18, 2025, the apex bank mandates institutions to configure all ATMs, point-of-sale (POS) terminals, and virtual platforms to accept international cards and maintain high system availability to prevent service disruptions. The move is designed to address persistent complaints from tourists and Nigerians in the diaspora regarding declined transactions, unclear pricing, and operational bottlenecks.
A key security feature of the new directive is the introduction of multi-factor authentication for transactions exceeding set thresholds. Banks must apply this extra verification for foreign card withdrawals and online payments above $200 daily, $500 weekly, or $1,000 monthly. The CBN also emphasised transparency, requiring that users be clearly shown the market-driven exchange rate and all associated charges before accepting a transaction. Furthermore, all merchant settlements from these transactions must be made in the local currency, the naira.
The comprehensive guidelines also strengthen fraud monitoring and consumer protection. Financial institutions must recalibrate systems to reduce false declines on legitimate transactions and implement robust monitoring for suspicious activity. The circular states, “In this regard, banks and non-bank acquirers shall: implement multi-factor authentication for all withdrawals and online transactions exceeding $200 per day, $500 per week, and $1,000 per month (or its equivalent)”. The CBN will monitor compliance and impose sanctions for breaches, advising users experiencing difficulties to report to its consumer protection department.