CBN Mandates ATM Expansion as PoS Regulations Tighten in Nigeria
The Central Bank of Nigeria (CBN) is implementing new measures to improve the accessibility of Automated Teller Machines (ATMs) across the country, particularly in response to challenges like frequent downtime and lengthy queues experienced by users. This initiative, outlined in a draft guideline released in October 2025, reflects the CBN’s commitment to enhancing financial service delivery and is coupled with tighter regulations on Point of Sale (PoS) transactions. These changes aim to streamline financial transactions and enhance customer experience within the Nigerian financial ecosystem.
ATM Density and Compliance Requirements
A key aspect of the new CBN directive is a requirement for banks and independent ATM deployers to significantly increase their ATM networks. The rule stipulates that for every 5,000 payment cards issued, a financial institution must have at least one ATM. This move aims to address the current disparity between the number of payment cards in circulation and the availability of ATMs, which often leads to congestion and user dissatisfaction. For example, Zenith Bank, which has issued 27.80 million cards and currently operates 2,142 ATMs, would need to expand its ATM network to 5,561 terminals by 2028 to comply. With a total of 320.05 million active bank accounts in Nigeria as of March 2025, and assuming each account holds a payment card, the nation would require approximately 64,011 ATMs to meet the CBN’s mandate. This substantial increase highlights the significant infrastructural investment needed to support the growing digital economy and the increasing reliance on electronic transactions. The deployment gap, based on the current 16,714 active ATMs as of H1 2024, underscores the scale of the challenge and the need for urgent action across the Nigerian banking sector.
The new guidelines, along with PoS regulations that limit daily transactions, are aimed to enhance financial inclusion and provide seamless digital payment options for the Nigerian population.
The CBN’s directive to expand ATM networks signals a broader effort to modernize Nigeria’s financial infrastructure. This initiative, alongside other regulatory adjustments, aims to facilitate a more efficient and user-friendly banking experience, ultimately supporting Nigeria’s goals for economic growth and financial inclusion.
Keywords
Related Keywords: CBN ATM order, ATM per card ratio, PoS rules Nigeria, CBN card regulations, ATM deployment, Nigerian banking, card transactions Nigeria, ATM access, CBN policy, point of sale regulations
