The Central Bank of Nigeria (CBN) is set to introduce a new regulatory framework aimed at sanitising debit card issuance and improving automated teller machine (ATM) operations across the banking industry, as part of efforts to address persistent challenges surrounding cash access nationwide.
The proposed policy was disclosed at the 2026 Committee of Heads of Bank Operations Conference held on Friday, where the CBN Governor, Mr. Yemi Cardoso, spoke through his Special Adviser, Mr. Fatai Karim. According to the apex bank, the initiative is designed to ensure better alignment between the number of debit cards issued by banks and the ATM infrastructure deployed to service customers.
The CBN noted that the widespread issuance of debit cards without a corresponding expansion in ATM capacity has contributed to frequent congestion, prolonged downtime and uneven cash availability, particularly in high-traffic urban centres. These challenges, the bank said, continue to erode public confidence in electronic payment channels, despite the rapid growth of digital transactions within the financial system.
Under the planned policy, banks will be required to more closely match their card issuance volumes with their operational ATM networks, a move expected to improve system efficiency and customer experience. The apex bank warned that when cash access fails—whether due to repeated ATM outages or poor cash distribution—the credibility of the broader payment system is put at risk.
CBN officials emphasised that the new framework forms part of a broader strategy to strengthen Nigeria’s payments ecosystem and ensure that digital banking growth is supported by reliable physical infrastructure where cash access remains essential.
Karim disclosed that the central bank is currently engaging key stakeholders within the banking industry to fine-tune the policy, adding that implementation is expected within the coming months, possibly before the end of the second quarter of 2026.
Industry observers say the move could significantly improve ATM reliability, reduce customer frustration and restore confidence in the banking system, while also compelling banks to make more strategic investments in cash distribution infrastructure. If effectively implemented, the policy is expected to benefit both financial institutions and millions of bank customers across the country.