The Central Bank of Nigeria, CBN, has implemented a daily restriction of N50,000 for contactless payments made through bank accounts or digital wallets.
Additionally, the maximum amount per transaction for contactless payments has been set at N15,000. This information was disclosed in a circular titled “Transaction Limits on Contactless Payments,” released by the CBN.
The circular, signed by Mr. Musa Jimoh, the Director of the Payment System Management Department at the CBN, explains that these transaction limits have been established due to the risks associated with contactless payments. Transactions exceeding these limits will require verification and authorization.
“Transaction limits for contactless payments through accounts/wallets in Nigeria shall be as follows: Transaction limit maximum amount is N15,000, and the cumulative daily limit maximum amount is N50,000.
“Higher-value contactless payments are transactions that exceed the above-stated limits and shall require appropriate verification and authorization.
“For these transactions, existing Know Your Customer (KYC) requirements and limits on the electronic payment channels shall apply.
“Limits above this stipulated daily cumulative limit shall be conducted using contact-based technology. Please be guided accordingly.”
As per the recently issued “Guidelines for Contactless Payments in Nigeria” by the CBN, contactless technology refers to a payment method that allows transactions to be conducted without physical contact with devices. This technology offers users convenient and efficient cashless options, providing them with easy alternatives for making payments.