The Central Bank of Nigeria (CBN), Nigeria’s monetary authority and financial system regulator, has issued new minimum standards for automated teller machine (ATM) deployment, operations, maintenance and security to improve access and reduce failed transactions.
The rules were published in a circular titled “Exposure of the Draft Guidelines on the Operations of Automated Teller Machines (ATMs) in Nigeria.”
Okay News reports that the circular sets a new deployment ratio requiring card issuers to provide at least one ATM for every 5,000 payment cards issued, with phased compliance of 30 per cent in 2026 and full implementation by 2028. The directive supersedes previous ATM regulations and applies to banks and independent deployers.
The CBN said ATMs must be sited to guarantee user safety and transaction confidentiality and should not be placed outdoors unless securely bolted to the floor. Deployment, redeployment and decommissioning will require prior written approval from the CBN.
Independent ATM Deployers (IADs) must obtain CBN approval and meet licensing or registration requirements, including evidence of a partnership with a licensed bank for cash provisioning. The bank that contracts a non‑bank deployer remains responsible for ensuring cash availability at the machines.
On failed transactions, the CBN ordered instant reversal for on‑us ATM transactions; where instant reversal fails for technical reasons, manual reversal must not exceed 24 hours. For not‑on‑us transactions using another bank’s ATM, refunds must be completed within 48 hours.
The guidelines require acquirers to initiate automatic refunds for non‑dispense errors, install cameras that record activity without capturing keystrokes, and fit anti‑skimming devices to mitigate fraud. ATM keys must be changed annually and customers may change PINs free of charge.
All deployers and acquirers must comply with the Payment Card Industry Data Security Standard (PCI DSS) and limit technical downtime to no more than 72 consecutive hours, with customers notified if longer outages are unavoidable. ATMs must issue receipts for all requested transactions except balance enquiries.
The CBN will conduct periodic audits and onsite checks and requires monthly returns by the fifth of each month. The circular warns that penalties will be imposed for non‑compliance, signalling stricter oversight of ATM services across Nigeria.
, Nigeria’s monetary authority and financial system regulator, has issued new minimum standards for automated teller machine (ATM) deployment, operations, maintenance and security to improve access and reduce failed transactions.){kind=link}