The Central Bank of Nigeria has instructed banks and other card issuers to significantly expand the deployment of Automated Teller Machines nationwide, setting a target of at least one ATM for every 7,500 payment cards issued by 2028.

Under the new Guidelines on the Operations of ATMs in Nigeria, the apex bank stated that “all card issuers shall deploy ATMs at a minimum ratio of one ATM for every 7,500 payment cards issued.”

The directive was conveyed in a circular dated March 13, 2026, signed by the Director of the Payments System Policy Department, Musa I. Jimoh, and addressed to banks, other financial institutions, and payment service providers.

The CBN said implementation of the requirement will be phased over a three-year period, with financial institutions expected to attain 30 percent compliance in 2026, 60 percent in 2027, and full compliance by 2028.

According to the apex bank, the revised framework is aimed at strengthening standards for ATM deployment, enhancing customer access to cash services, and aligning Nigeria’s payment infrastructure with global regulatory practices.

The CBN noted that the review became necessary due to rapid changes in the payment ecosystem, including increasing cyber threats, the expansion of digital finance, and growing demand for financial inclusion.

The document also replaces earlier provisions on ATM operations contained in the 2020 Guidelines on the Operations of Electronic Payment Channels in Nigeria.

Beyond the new ATM density requirement, the apex bank introduced stricter regulations covering ATM deployment, processing arrangements, and interoperability across the financial system.

Under the framework, all ATM transactions carried out in Nigeria must be processed by a company operating within the country as an acquirer-processor.

The guidelines also prohibit any card scheme from requiring Nigerian banks or acquirers to route domestic ATM transactions outside the country for processing or authorisation, according to the Central Bank of Nigeria.

“No card or payment scheme shall compel any issuer or acquirer to send any transaction outside the country for processing, authorization or switching,” the document stated.

The CBN stated that all ATM transactions involving Nigerian card issuers must be settled through a domestic settlement arrangement operated by a Nigerian company, with collateral denominated in naira and held within the country.

The regulator further barred the deployment of stand-alone or closed ATM networks, insisting that all ATM systems must be interoperable.

It added that ATMs must accept all cards issued in Nigeria by authorised issuers and should be installed in locations that ensure safe and convenient access for customers.