The Central Bank of Nigeria has directed all banks and financial institutions to implement multi-factor authentication for foreign card transactions exceeding $200 per day, in a move aimed at improving security and the user experience for tourists and Nigerians returning from the diaspora.
Issued in a circular dated December 18, 2025, by the CBN’s Financial Policy and Regulation Department, the directive covers withdrawals and online transactions above $200 daily, $500 weekly, and $1,000 monthly, or their naira equivalents. Financial institutions are also required to ensure uninterrupted local currency withdrawals, payments, and transfers for users of foreign-issued cards across the nation.
All ATMs, point-of-sale terminals, and virtual payment platforms must comply with global card association standards, maintain proper certifications, and be configured to accept international cards routed through Nigerian acquirers. Banks are required to maintain transparency in exchange rates and fees, with settlements strictly in naira, while robust transaction monitoring and anti-money laundering measures must be implemented to reduce fraud risks.
The circular further introduces stricter obligations for dispute resolution and chargebacks, including the proper retention of documentation, quarterly merchant training, and timely case handling. Non-compliance will attract sanctions, and tourists or returnees facing difficulties with foreign cards are encouraged to report to the CBN’s Consumer Protection and Financial Inclusion Department.
This directive is part of the CBN’s broader efforts to enhance convenience, security, and reliability in foreign card usage across Nigeria.
