The Central Bank of Nigeria (CBN) has directed all banks and financial institutions to ensure that automated teller machines (ATMs), point-of-sale (POS) terminals, and virtual payment platforms nationwide are fully configured to accept foreign-issued payment cards.
This move, aimed at improving access to funds and enhancing the experience for tourists and Nigerians returning from abroad, comes ahead of the yuletide season when international card usage typically spikes.
Under the new directive, banks must implement multi-factor authentication for foreign card transactions exceeding $200 per day, $500 per week, or $1,000 per month (or their naira equivalents).
Institutions are also required to maintain system availability, sufficient liquidity, and settle transactions for merchants in local currency (naira).
The CBN further instructed banks to clearly disclose exchange rates and transaction charges to users before processing any foreign card transaction, ensuring that customers accept these terms before completion.
Enhanced monitoring for suspicious activities, strengthened know-your-customer (KYC) and anti-money laundering (AML) controls, and robust chargeback management processes are also mandated to reduce fraud and ensure compliance.
Financial institutions found in breach of these guidelines will face sanctions, while customers experiencing difficulties with foreign card transactions are advised to report such issues to the CBN’s Consumer Protection and Financial Inclusion Department.