The Central Bank of Nigeria (CBN) is urging banks and independent ATM operators to enhance their cash distribution networks.
In a draft directive unveiled in October 2025, the regulator outlined plans to boost ATM availability across Nigeria, a country where frequent machine outages and long queues are common frustrations. This initiative follows recent regulations that limit daily PoS transactions to ₦1.2 million ($823.32), among other controls.
Under the proposed mandate, financial institutions must maintain one ATM for every 5,000 payment cards issued. For instance, Zenith Bank, which has distributed 27.80 million cards and currently operates 2,142 ATMs, would be required to expand its ATM network to at least 5,561 units by 2028.
With Nigeria boasting 320.05 million active bank accounts as of March 2025, assuming each account holder receives a card, the nation would need approximately 64,011 ATMs to meet the CBN’s standard.
Figures sourced from NIBSS and CBN reports. The CBN requires one ATM per 5,000 issued cards.
Since the widespread adoption of PoS terminals in 2013, these devices have become the preferred cash access points for many Nigerians. By March 2025, there were 8.36 million registered PoS terminals, with 5.90 million actively in use. Meanwhile, the number of operational ATMs declined to 16,714 in the first half of 2024, down from 17,377 the previous year.
According to the International Monetary Fund (IMF), Nigeria has 14 ATMs per 100,000 adults, significantly lower than Egypt’s 31 per 100,000. The new CBN guidelines seek to bridge this gap through a phased rollout: 30% of the required ATMs must be installed by 2026, 60% by 2027, and full compliance by 2028.
The regulations target deposit money banks, other financial institutions, and independent ATM deployers. The CBN emphasized that these measures are essential “to set minimum standards for ATM deployment, operation, and upkeep, and to enhance ATM accessibility in both urban and rural communities.”
Additionally, the directive requires that 2% of all ATMs be fitted with tactile features to cbn–atm-operations-10-key-rules/” title=”Unlock the Latest … … Rules: 10 Essential Guidelines You Need to Know Now!”>assist visually impaired users. It also mandates that any failed transactions be reimbursed within 24 to 48 hours.
ATMs must be strategically placed to ensure reasonable proximity in both cities and rural areas, with cash availability guaranteed at all times. To facilitate this, banks are expected to implement real-time online monitoring systems to oversee cash levels across their ATM networks.
In enforcement actions, the CBN fined nine banks a total of ₦1.35 billion ($926,237) for failing to maintain adequate cash in their ATMs. This draft regulation follows the CBN’s PoS exclusivity policy, set to take effect in April 2026, which requires over two million agents to affiliate with a single licensed operator.
While the exclusivity rule aims to curb fraud and improve regulatory oversight, it may reduce the number of available PoS terminals. The new ATM guidelines could counterbalance this by encouraging banks to broaden their physical cash access points nationwide.
For banks, meeting these requirements will entail increased expenses related to infrastructure and maintenance, particularly in less-served regions.
These additional costs are expected to be offset by revised fee structures, including higher ATM withdrawal charges introduced in February. The draft guideline is open for public feedback over the next four weeks. Regardless of the final outcome, it is evident that the CBN is determined to transform cash accessibility across Nigeria’s economy.
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