Nigerians will soon pay higher charges for withdrawing cash from Automated Teller Machines (ATMs) as the Central Bank of Nigeria (CBN) has revised transaction fees due to rising operational costs and efforts to improve banking services.
In a circular signed by John Onojah, Acting Director of the Financial Policy and Regulation Department, the apex bank announced that the new charges will take effect from March 1, 2025. This marks the first adjustment since 2019 when withdrawal fees were reduced from N65 to N35.
According to the CBN, customers will now pay more when withdrawing cash from ATMs, particularly for transactions involving other banks. The bank explained that the surcharge for withdrawals at ATMs of different banks “is the income of the ATM deployer/acquirer and must be disclosed to consumers at the point of withdrawal.”
Providing insight into the increase, the CBN stated, “In response to rising costs and the need to improve efficiency of Automated Teller Machine (ATM) services in the banking industry, the Central Bank of Nigeria (CBN) has reviewed the ATM transaction fees prescribed in Section 10.7 of the extant CBN Guide to Charges by Banks, Other Financial and Non-Bank Financial Institutions, 2020 (the Guide).”
The regulator further explained that the adjustment aims to “accelerate the deployment of ATMs and ensure that appropriate charges are applied by financial institutions to consumers of the service.”
Banks and other financial institutions have been directed to comply with the revised charges before implementation begins on March 1.
“As part of this directive, banks and other financial institutions are advised to apply the following fees with effect from March 1, 2025,” the circular stated.
