 Central Bank of Nigeria (CBN) has directed banks and non-bank acquirers to implement multi-factor authentication for foreign card transactions exceeding $200 per day.
In a circular dated December 18 and signed by Rita Sike, Director of Financial Policy and Regulation, the CBN asked banks to implement the same authentication measure for transactions above $500 per week and $1,000 per month, and configure point-of-sale (POS) terminals for foreign card use.
The regulator said the move is part of efforts to ensure uninterrupted and efficient local currency withdrawals, payments, and transfer services for users of foreign-issued payment cards across Nigeria.
The Apex Bank said the measures are aimed at improving access to funds, enhancing security, and boosting user experience for tourists and Nigerians in the diaspora visiting the country.
The CBN also directed banks and non-bank acquirers to configure all automated teller machines (ATMs), POS, and virtual terminals to accept international cards with Nigerian acquirers, comply fully with card association standards, and possess the necessary certifications to enable seamless transaction processing.
The organisation also instructed institutions to maintain system availability to guarantee uninterrupted transaction processing.
In addition, banks and non-bank acquirers were asked to report suspicious transactions to the Nigeria Financial Intelligence Unit (NFIU), and recalibrate fraud-monitoring systems to reduce false declines on legitimate transactions.
The circular also said card acceptance devices must be equipped with contactless payment options for low-value transactions and that consumer complaints be resolved within approved timelines and warned that unresolved escalations to the apex bank would attract sanctions.
The regulator advised tourists and Nigerian returnees experiencing challenges using foreign-issued cards to report such incidents to the CBN’s consumer protection department via complaint4cbn@cbn.gov.ng.
The CBN said it will monitor compliance with the directive and impose appropriate sanctions on institutions found to be in breach.
