By Douglas Maha, Abuja
Nigeria’s central bank has released draft guidelines requiring banks to refund customers within 48 hours for failed interbank Automated Teller Machine (ATM) transactions, in a move aimed at improving payment reliability and consumer protection.
The proposed rules, published by the Central Bank of Nigeria (CBN) on Friday, also mandate instant reversals for failed transactions carried out on the same bank’s machines. Where immediate reversal is not possible due to technical issues, banks must process refunds manually within 24 hours.
The CBN said the directive is part of wider reforms to strengthen trust and efficiency in the country’s payment systems. The document, titled “Exposure of the Draft Guidelines on the Operations of Automated Teller Machines (ATMs) in Nigeria”, was signed by Musa Jimoh, director of the Payments System Policy Department.
“The draft is part of the Bank’s continuous efforts to strengthen reliability, safety and consumer confidence in the Nigerian payments ecosystem,” the CBN said in a statement.
The central bank said it has circulated the draft to banks, payment service providers and other financial institutions for a four-week public consultation.
According to the document, the new framework seeks to improve access to ATMs nationwide, establish minimum operational standards, and align Nigeria’s payment infrastructure with global best practices. It will apply to deposit money banks, independent ATM deployers, card schemes and payment service providers.
The CBN also directed ATM operators to ensure user safety and transaction confidentiality. All ATMs must have surveillance cameras covering the area around the machine but not recording customers’ keystrokes. The devices should be securely installed and protected against tampering or theft.
“ATMs must guarantee both the safety and confidentiality of users,” the CBN said, adding that operators will be held responsible for any security lapses.
