Stricter regulations now await banks and cheque printing companies, the Central Bank of Nigeria, CBN, announced on Monday, in a move to strengthen the security and integrity of cheque transactions in the country.
Under the new directive, banks and accredited cheque printers who include features on cheques without prior approval from the CBN may be fined up to ₦10 million. Repeat violations could attract even stiffer penalties.
The new rule forms part of updates to the Nigeria Cheque Standard and the Nigeria Cheque Printers’ Accreditation Scheme, which regulate how cheques are produced and processed within the banking system.
According to the directive, banks are required to use only CBN-accredited cheque printers. Any bank that prints cheques through an unapproved printer risks sanctions, including fines and the possible withdrawal of the affected cheques from circulation.
The apex bank also warned that cheque printers must submit samples of their printed cheques for inspection and approval before issuing them to customers. Failure to comply with this requirement could result in financial penalties.
In addition, cheques that fail to meet approved security or encoding standards may attract penalties, as the CBN seeks to ensure that all cheque instruments meet strict quality and security benchmarks.
Beyond monetary fines, the CBN may also suspend or withdraw the accreditation of erring cheque printers and mandate the reprinting of non-compliant cheques at the printer’s expense.
The measure is part of the apex bank’s efforts to strengthen confidence in Nigeria’s payment system, reduce the risk of cheque-related fraud, and ensure uniform standards across the banking sector.
Although digital payment channels continue to grow in popularity, cheques remain an important instrument for many large financial and corporate transactions in Nigeria. The CBN, therefore, maintains that strict compliance with established cheque standards is essential for maintaining trust and efficiency in the country’s financial system.
