FAAN bans cash transactions nationwide from Feb 29 in line with FG cashless policy
The Federal Airports Authority of Nigeria (FAAN) has announced the cessation of all cash transactions across its operations nationwide, effective February 29, 2026, in line with the Federal Government’s cashless policy directive.
The decision, approved by the Federal Executive Council, (FEC) mandates that all financial and business transactions conducted by the agency must be processed through approved electronic payment channels, with strict sanctions for non-compliance.
The directive was disclosed in an internal memo signed by Olubunmi Kuku, Managing Director and Chief Executive, FAAN, on Tuesday.
In an earlier correspondence dated 24 November, forwarded to government agencies by Shamseldeen Ogunjimi, Accountant-General of the Federation, the government had ordered the cessation of cash payments across its dealings, lamenting that agencies of government in the past have circumvented the process, a development the government is frowning at.
In strict adherence to the directive, Kuku said that, in view of the approval of the cessation of cash collection transactions by the Federal Executive Council, it has become expedient that FAAN complies strictly with the policy
“Further to the approval on cessation of cash collection transactions by the Federal Executive Council, it has become expedient that FAAN complies strictly with the policy of cashless economy by conducting all its financial and business transactions through a cashless system,” the memo stated.
According to the circular, all directors have been mandated to take immediate steps to ensure full compliance across departments and airport formations.
Kuku stated further that alternative approved payment channels must be fully adopted before the deadline, warning that non-compliance would attract sanctions.
“Accordingly, a directive is hereby given that all cash collections or transactions in the conduct of FAAN’s official businesses MUST STOP with effect from 29 February 2026.
“Alternative approved payment channels should be fully adopted, and no cash transactions should be accepted beyond the stated deadline. Failure will attract stiff penalties,” Kuku emphasized.