Nigeria's Central Bank Tightens Mobile Banking Security with New Rules
The Central Bank of Nigeria (CBN) has introduced stricter security rules for mobile banking and instant payment services. These measures, set to begin on 1 July 2026, will affect banks and mobile money operators like PalmPay, Opay, Moniepoint, and Paga. The changes aim to reduce fraud and improve transaction safety across digital platforms.
Under the new guidelines, customers activating a mobile banking app on a new device will face a N20,000 transaction limit for the first 24 hours. This restriction applies to both inflows and outflows for newly opened accounts, while existing accounts will only have outflow limits during the same period.
Financial institutions must now use **enterprise fraud monitoring systems** to detect suspicious activity in real time. Another key requirement is the **liveliness check**—a verification step confirming the account holder's physical presence when opening an account online. The rules also prevent mobile financial services from running on multiple devices at once. If a customer switches to a new device, the system will automatically **deactivate the old one** and require re-authentication. While users can adjust their transaction limits, these remain capped at **N25 million for individuals** and **N250 million for corporate accounts** under existing regulations.
The updated standards will apply to all banks and mobile money providers in Nigeria. From next year, stricter authentication, monitoring, and transaction caps will become mandatory. These steps are designed to strengthen security and reduce fraud risks in digital payments.
