CBN orders banks to create ATMs, POS for foreign card users, boost tourists, diaspora convenience

The Central Bank of Nigeria (CBN) has instructed banks and payment service providers to ensure seamless transaction services for holders of foreign-issued payment cards.

This directive aims to address long-standing issues such as frequent transaction declines, unclear fees, and system failures that have inconvenienced tourists and Nigerians returning from abroad.

In a circular issued on December 18, 2025, the CBN mandates that all ATMs, point-of-sale terminals, and online platforms must be fully operational and compliant with international standards to accept foreign cards.

Financial institutions are required to maintain high system availability to prevent service disruptions.

To enhance security without hindering access, banks must implement multi-factor authentication for large transactions and adjust fraud systems to reduce unnecessary declines on legitimate transactions.

The CBN stressed that overly restrictive controls should not block genuine users from their funds.

The directive also emphasizes transparency: customers must be clearly informed of applicable exchange rates—which must be market-driven—and all charges before authorizing transactions.

Banks must ensure sufficient liquidity for timely settlement in local currency.

Also, payment providers and merchants must strengthen monitoring and anti-money laundering controls, report suspicious activity, and maintain proper transaction records.

Banks are also required to establish efficient complaint resolution and chargeback processes, with non-compliance risking CBN sanctions.

The CBN advises individuals experiencing difficulties with foreign cards to report issues to its Consumer Protection Department, reaffirming its commitment to a reliable and user-friendly payment system.

About The Author

Dele Fashomi

Dele Fashomi, seasoned journalist and communication teacher, is a holder of Master of Arts degree in Communication and Language Arts from the University of Ibadan in 1992/93.

Earlier, he had bagged a Bachelor degree from the same university in 1984, after which he proceeded to the Nigerian Institute of Journalism, Lagos, in 1990, for a postgraduate diploma in Journalism.

He had done many courses in communication, including the EU-BBC Editing Course in 2002.

Mr. Fashomi combines effectively the practice, research and teaching of communication. And to date, he has published two academic works in communication: Issues in Communication Technology and Policy (2010) and Economic and Social Issues in Advertising and PR (2013).

He had his first break in the Nigerian media in Concord Newspapers in 1990 and today, he has over two and half decades experience earned in several newspapers.

He has been part of many start-ups, such as The Republic (1987), The Comet (1999), The Anchor 2001 – 2002; Sun Newspapers (2003); Westerner newsmagazine (2005 – 2010) as Editor; National Life (2011) as Sunday Editor, and Newswatch Newspapers (2012- 2016) as Daily Editor.

Dele Fashomi is now the Publisher/Editor-in-Chief of Newstide247.com newspaper online, which he started in July 2015. He is also into biography writing, with many books in his trail, some of which he wrote alone and one he co- authored with his mentor, Mr Dare Babarinsa, entitled:  Olabiyi Durojaiye – DARE TO BE DiFFERENT. He also guided and collaborated with Pa Olatunji Odusanya in writing his autobiography – AGAINST ALL ODDS. There are many other books in the works under his pen.

See author's posts