The Central Bank of Nigeria (CBN) has limited the daily cumulative transaction limit to ₦50,000 and the single transaction limit to ₦15,000 contactless payments made through bank accounts or digital wallets.
The transaction limit for contactless payments takes effect on Tuesday, June 27, 2023.
CBN’s director of the Payments and Systems Management Department, Musa Jimoh, disclosed this in a circular to banks, other financial institutions, and payment service providers.
Jimoh said the higher-value contactless payments are transactions that exceed the above-stated limits and will require appropriate verification and authorisation.
“For these transactions, existing know-your-customer (KYC) requirements and limits on the electronic payment channels shall apply, adding that limits above this stipulated daily cumulative limit shall be conducted using contact-based technology,” Jimoh noted.
The apex bank also issued guidelines for contactless payments, stating that “banks shall determine appropriate transaction and daily cumulative limits for contactless payments from time to time”, noting that stakeholders shall be permitted to set limits in line with the bank’s limits.
Contactless payment transactions under the stipulated limits per transaction/day may not require customer authorisation such as a Personal Identification Number, token, biometrics, etc., whereas higher-value contactless payments will require customer verification such as a PIN, mobile code, biometric identifier, etc., according to the CBN.
CBN added that “stakeholders shall implement a risk-based approach
