The Federal Government (FG) has banned all physical cash payments for government revenue and ordered every MDA to install POS terminals within 45 days. The directive comes from four new Treasury circulars issued by the Office of the Accountant-General of the Federation.
The first circular, dated November 24, 2025, said the government is worried about continued cash collection at MDA revenue points despite existing TSA and e-payment rules. It stated that cash handling weakens federal payment integrity and must stop immediately.
The document also directed MDAs to notify staff and the public and to display signs stating “NO PHYSICAL CASH RECEIPT” and “NO CASH PAYMENT.” Any MDA still collecting cash must deploy POS machines or other approved devices within the 45-day deadline. Accounting officers will be held personally responsible for violations.
A second circular, dated November 25, 2025, addressed unauthorised deductions made before funds reach the TSA. The Treasury said MDAs were using customised portals linked to PSSPs that deduct charges before remitting revenue. It said the practice has caused major leakages.
The circular ordered an immediate end to such deductions and directed that all revenue be remitted in full to TSA or Sub-TSA accounts. Service charges must now be paid directly from Treasury accounts. All MDA portals and PSSPs must be regularised with the OAGF before December 31, 2025.
A third circular introduced the Federal Treasury e-Receipt, which becomes mandatory from January 1, 2026. The FTe-R will be the only valid proof of government payment and will be issued digitally through the Revenue Optimisation Platform.
The fourth circular announced the rollout of RevOP for automated billing, reconciliation, and real-time revenue tracking. MDAs must nominate three officers as RevOP focal personnel and integrate their financial systems with the platform. Only CBN-licensed and OAGF-approved PSSPs will be allowed to operate.
The government also directed MDAs to submit details of all local and foreign accounts within 60 days. These measures form part of the FG’s wider push to close leakages, enforce transparency, and expand digital oversight of public finances.
Earlier in 2025, the FG launched the Treasury Management & Revenue Assurance System to automate tax deductions, track balances, and monitor payments. A second phase will add foreign currency transactions and ERP integration.
