NIGERNAIJAONPOINT withdrew a total of ₦36.34 trillion from Automated Teller Machines between January and June 2025, nearly three times the ₦12.21 trillion recorded during the same period in 2024, according to data from the Central Bank of Nigeria (CBN).
The sharp rise came despite a revised ATM fee structure introduced in March 2025, aimed at discouraging heavy cash usage and addressing rising operational costs.
The policy also removed the previous allowance of three free monthly withdrawals on other banks’ ATMs, making access to cash more expensive for customers.
In a circular explaining the review, the apex bank said the adjustment was necessary to improve efficiency in ATM services and encourage wider deployment of machines across the banking sector.
Under the new framework, customers now pay ₦100 for every ₦20,000 withdrawn from another bank’s ATM, with offsite machines attracting additional charges of up to ₦500 per transaction.
ATM withdrawals grew steadily throughout the period.
In the first quarter of 2025, withdrawals reached ₦15.97 trillion, compared with ₦5.46 trillion in the same quarter of 2024.
The trend continued in the second quarter, with withdrawals rising to ₦20.36 trillion, up from ₦6.75 trillion a year earlier.
Monthly figures also reflected consistent growth.
Withdrawals increased from ₦4.81 trillion in January to ₦5.40 trillion in February and ₦5.76 trillion in March, before climbing further in the second quarter. The peak was recorded in May at ₦7.44 trillion, followed by a slight decline to ₦6.55 trillion in June.
Beyond value, transaction volumes also rose sharply.
A total of 858.8 million ATM withdrawals were recorded in the six-month period, compared with 496.47 million in the same period of 2024—an increase of nearly 73 per cent.
The data suggest that higher charges had little impact on how frequently Nigerians accessed cash.
The sustained reliance on cash has drawn criticism from labour unions and consumer rights groups.
The Trade Union Congress described the fee hike as exploitative, while the Socio-Economic Rights and Accountability Project challenged the policy in court, arguing that it places an undue burden on low-income earners.
Some banking industry stakeholders, however, maintain that the increase was unavoidable, though concerns persist over its scale and timing amid broader economic pressures.
The continued growth in ATM withdrawals contrasts with the expansion of electronic payment channels.
While point-of-sale transactions remained dominant in absolute value—rising to ₦147.2 trillion in the first half of 2025—the rate of growth in ATM withdrawals outpaced other payment methods during the period.