The Central Bank of Nigeria has issued a fresh directive to banks and other financial institutions to improve access to foreign-issued payment cards for tourists and Nigerians returning from the diaspora.
The move, according to the apex bank, is part of efforts to enhance user experience, improve access to funds and strengthen confidence in the country’s payment system.
In a circular dated December 18, 2025, and signed by the Director of the Financial Policy and Regulation Department, Rita I. Sike, the CBN directed deposit money banks and non-bank acquirers to ensure seamless naira withdrawal, payment and transfer services for users of foreign-issued cards nationwide.
The bank said the directive was issued in response to persistent complaints over declined transactions, unclear pricing, system downtime and operational challenges encountered by foreign card users in Nigeria.
Under the new guidelines, banks are required to ensure that Automated Teller Machines, Point-of-Sale terminals and virtual payment platforms are properly configured to accept international cards supported by Nigerian acquirers.
They are also mandated to comply fully with global card scheme standards, maintain relevant certifications and ensure high system availability to minimise service disruptions.
To enhance security without compromising convenience, the CBN directed financial institutions to deploy multi-factor authentication for withdrawals and online transactions above specified thresholds.
Banks are also expected to recalibrate their fraud-monitoring systems to reduce false declines on legitimate transactions, with the apex bank stressing that genuine users should not be denied access to their funds due to excessive controls.
The circular further emphasised transparency, directing banks and payment service providers to clearly disclose applicable exchange rates and charges to customers before transactions are completed.
The CBN said exchange rates must be market-driven and based on prevailing official rates, while transactions should only proceed after customers have explicitly accepted the terms.
In addition, banks are required to maintain adequate liquidity to enable prompt settlement of transactions and ensure merchants are paid in local currency. Payment service providers are also expected to strengthen transaction-monitoring systems to detect unusual patterns in foreign card usage, while reinforcing know-your-customer and anti-money laundering measures for merchants.
The apex bank also placed obligations on merchants to ensure proper signing of card-present transaction receipts and request valid identification where transactions appear suspicious.
Such transactions are to be reported to the Nigerian Financial Intelligence Unit in line with existing regulations.
The CBN further directed acquirers to establish robust chargeback management processes, retain transaction records for at least 12 months and organise quarterly training for merchants and agents on dispute resolution and chargeback handling. It warned that unresolved consumer complaints escalated to the apex bank could attract sanctions.
Tourists and Nigerians returning from abroad who experience challenges using foreign-issued cards were advised to report such incidents to the Consumer Protection and Financial Inclusion Department of the Central Bank of Nigeria, as the bank reaffirmed its commitment to consumer protection and a more reliable payment infrastructure.
