The Central Bank of Nigeria (CBN) has rolled out new rules to regulate agent banking across the country.
Musa Jimoh, director of the CBN’s payments system policy department, on Monday, released the framework of the new rules in a circular addressed to all deposit money banks, other financial institutions (OFIs), and payment service providers on Monday.
EDITOR’S PICKS
The framework, which takes effect immediately, with some provisions (on agent location and agent exclusivity) kicking in by April 2026, is aimed at improving service quality, protecting customers, and strengthening financial inclusion.
Agent banking is the provision of financial services to customers by a third party (agent) on behalf of a licensed deposit taking financial institution or mobile money operator.
EKO HOT BLOG breaks down what the new guidelines mean for banks, agents, and everyday Nigerians.
Stricter Oversight and Transparency Rules
Under the new policy, all agent banking transactions must now pass through dedicated accounts or wallets maintained by the principal financial institution whether a bank, mobile money operator, or other financial institution. This means agents can no longer use personal or non-designated accounts for transactions.
The CBN said such practices will be considered violations, with erring agents facing sanctions, contract termination, or inclusion on industry watchlists. Each financial institution must also publish and regularly update the list of its registered agents on its website, while every branch must display a list of agents operating in its locality for public verification.
Super agents — institutions that manage networks of smaller agents — are required to have at least 50 agents across all six geopolitical zones to ensure nationwide coverage.
The guidelines also stipulate that no agent can relocate, transfer, or close its banking premises without prior written approval from its principal or super agent. Additionally, any relocation notice must be visibly “posted at the business premises for at least 30 days to notify customers.”
Limits, Technology, and Real-Time Transactions
The new framework demands that all agent transactions be carried out in real time using secure and interoperable payment systems. Banks must deploy technologies that allow instant settlement, immediate reversals in cases of failure, and automatic blocking of transactions that exceed prescribed limits.
The CBN also set a daily cash-out ceiling of ₦1.2 million per agent, although this may be reviewed over time. In addition, all transaction receipts must include the agent’s name and geographic coordinates, while data logs and settlement records must be stored for at least five years.
Devices used for transactions must also be geo-fenced, ensuring they operate strictly within registered business locations to prevent fraud and unauthorised mobility.
Reporting and Compliance Requirements
Financial institutions must submit monthly returns to the CBN detailing transaction volumes, fraud incidents, agent activity levels, customer complaints, and training records. The apex bank also reserves the right to carry out spot checks and direct inspections on any agent or institution.
Breaches will attract tough penalties — from suspension of new agent onboarding to licence revocation or blacklisting of persistent offenders. The CBN also has the power to remove erring management officials or freeze non-compliant operations.
Boosting Trust and Financial Inclusion
With agent banking now a key channel for cash withdrawals, deposits, and bill payments in rural and underserved areas, the CBN’s latest move seeks to restore confidence and ensure accountability in the system. The guidelines aim to promote fair market conduct, prevent fraud, and expand access to safe financial services for millions of Nigerians.
FURTHER READING
By tightening supervision and setting clear operating standards, the apex bank hopes to balance innovation with stability, reinforcing trust in Nigeria’s fast-growing agent banking ecosystem.
Philip Ibitoye is a Special Correspondent with EKO HOT BLOG. Click here to find daily analysis and critical insight on trending issues in Lagos and other parts of Nigeria.
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