GTBank leads renewed push for international transactions as improved dollar liquidity eases pressure on consumers.
Nigerians travelling abroad, paying for foreign services, or conducting legitimate international transactions may soon experience greater convenience as commercial banks increase the spending limits attached to naira-denominated cards, signalling renewed confidence in the country’s foreign exchange market.
Guaranty Trust Bank (GTBank) has emerged as the first among Nigeria’s 33 recapitalised banks to significantly increase its international card spending threshold, raising the limit on its naira card to $20,000 per quarter.
The new limit gives customers more flexibility to pay for overseas flights, hotel reservations, international school fees, online purchases and other approved foreign transactions without facing the restrictions that characterised previous years.
The latest adjustment represents a major jump from the $6,000 quarterly limit introduced in November 2025 and is 20 times higher than the $1,000 quarterly cap announced in July 2025, reflecting a gradual return of confidence in the ability of banks to meet customers’ foreign currency needs.
Financial analysts believe the development is a direct indication that liquidity conditions in Nigeria’s foreign exchange market have improved following a series of reforms implemented by the Central Bank of Nigeria (CBN) over the past three years.
Ayokunle Olubunmi, head of Financial Institutions Ratings at Agusto & Co., said the increase in card limits reflects stronger dollar availability and banks’ renewed interest in expanding foreign payment services.
“This reflects the improved liquidity in the foreign exchange market. It also shows the focus of banks in maximising income from card payments,” Olubunmi said.
Similarly, Muda Yusuf, chief executive officer of the Centre for the Promotion of Private Enterprise (CPPE), described the development as a sign that confidence is returning to the foreign exchange market after years of uncertainty and limited access to dollars.
“It’s an indication that the liquidity in the foreign exchange market has improved significantly and we can see that from the stability of the exchange rate. We can also see that reflected in our foreign reserves. All of these things reflect the level of confidence,” Yusuf said.
He explained that the improved market conditions have reduced the pressure previously experienced by individuals and businesses seeking foreign exchange for genuine needs.
“It also means that citizens and those who use foreign exchange are no longer desperate about foreign exchange usage. Whether you want to use it through your card or access it for international trade, there is no anxiety, there is no pressure and there is no desperation. All of these things have arisen because the level of confidence in the foreign exchange market and the outlook for the market have been very reassuring,” he said.
According to Yusuf, the adjustment of spending limits by banks demonstrates that financial institutions are becoming more confident about the sustainability of the reforms introduced by the apex bank.
“That is why we are seeing all these positive developments around the use of the naira card abroad and the limits that are now being adjusted by banks. It is a very good development and I hope we can sustain it. I am confident we will,” he added.
Policy changes strengthen access to foreign exchange
The increase in international card limits comes amid broader reforms by the CBN aimed at improving transparency, strengthening liquidity and ensuring that foreign exchange is available for legitimate economic activities.
Under the CBN’s Foreign Exchange Manual, Fourth Edition, the maximum amount permitted for tuition fee remittances for Nigerians studying abroad at undergraduate and postgraduate levels has been increased to $25,000 per semester, up from the previous $15,000 limit.
The manual states: “Payment of tuition fees for undergraduate/postgraduate studies shall be subject to a maximum limit of $25,000.00 per semester.”
The expansion of naira card spending limits by some banks suggests that lenders are increasingly comfortable with the stability of foreign currency supply and the ability of the market to support retail international payments.
Other banks have also adjusted their foreign transaction offerings. Access Bank recently published a daily exchange rate of N1,378 per dollar for international payments conducted through naira cards.
The bank allows customers with Visa Signature and Visa Platinum cards to spend up to $3,000 monthly, while Visa Classic and Mastercard holders have a monthly international spending limit of $2,000.
United Bank for Africa (UBA) also quoted N1,378 per dollar for international naira card transactions as of August 3, 2026, advising customers to complete payments early as exchange rates are reviewed daily based on prevailing market conditions.
However, some lenders remain more conservative. Stanbic IBTC continues to maintain a lower international spending limit of $100 per month on its naira debit card, covering point-of-sale transactions, online payments and ATM withdrawals abroad.
CBN says market forces now driving forex activities
The renewed willingness of banks to support international card payments aligns with the CBN’s position that Nigeria’s foreign exchange market has become more stable and increasingly driven by market forces.
Speaking at the BusinessDay 14th Annual CEO Forum in Lagos, CBN Governor Olayemi Cardoso said buying and selling activities now play a greater role in determining exchange rate outcomes, unlike previous periods when market participants depended heavily on frequent interventions from the Central Bank.
Cardoso said Nigeria’s net foreign exchange reserves have grown from slightly above $3 billion at the beginning of the reform programme to more than $40 billion, while gross reserves have increased to about $52 billion.
He noted that the stronger reserve position gives the CBN greater flexibility to focus interventions on periods of market pressure rather than routine liquidity support.
For consumers and businesses, the return of higher international card limits represents one of the most visible signs that the effects of foreign exchange reforms are gradually extending beyond financial markets and into everyday economic activities.
Students paying overseas tuition, travellers making international bookings and businesses settling legitimate foreign obligations are expected to benefit from easier access to dollar-denominated services as banks continue to respond to improving market conditions.