The move forms part of four Treasury circulars issued by the Office of the Accountant-General of the Federation (OAGF), which were reported on Monday.
The Nigerian government has ordered an immediate halt to the use of physical cash for all revenue payments, directing Ministries, Departments, and Agencies (MDAs) to install Point of Sale (POS) terminals within 45 days.
The move forms part of four Treasury circulars issued by the Office of the Accountant-General of the Federation (OAGF), which were reported on Monday.
Shamseldeen Ogunjimi, the Accountant-General, stated in the circulars that “All payments to government must be made through electronic channels approved by the Office of the Accountant-General of the Federation and integrated into the appropriate Treasury Single Account,” emphasising that cash acceptance is now prohibited.
“In view of the above, it is hereby directed that collections and/or acceptance of physical cash (in Naira or other currencies) for all revenues due to the Federal Government is strictly prohibited. All revenue collections, for and on behalf of the Federal Government, must be made via electronic processing,” the circular stated.
The first circular, dated 24 November 2025 and titled Enforcement of No Physical Cash Receipt Policy for All Federal Government Revenue Transactions, expressed concern over “continued physical cash collection” at MDA revenue points despite existing rules on e-payment and the Treasury Single Account.
It warned that physical cash collection “weakens the integrity of Federal Government e-collection and e-payment systems” and instructed MDAs to display notices reading “NO PHYSICAL CASH RECEIPT” and “NO CASH PAYMENT.”
MDAs currently collecting cash were directed to deploy functional POS terminals or approved electronic devices within 45 days, with accounting officers held responsible for breaches.
The second circular, dated 25 November 2025, titled Immediate Cessation of Direct Deductions on MDAs’ Dedicated Collection Systems, targeted unauthorised deductions through customised payment platforms.
It observed that MDAs were deducting charges, fees, and commissions before remitting revenues to the Treasury Single Account, a practice that violated regulations and caused “significant revenue leakages, which undermine the Federal Government’s efforts to achieve fiscal transparency.”
“All revenues must be remitted to designated TSA or Sub-TSA accounts without any deduction(s),” the circular stated, adding that fees must be paid directly from Treasury accounts.
MDAs involved in public-private partnerships were advised to seek Treasury guidance, and non-compliance would lead to restricted access to the Government Integrated Financial Management Information System (GIFMIS) and TSA accounts.
The third circular, dated 26 November 2025 and titled Adoption of the Federal Treasury e-Receipt (FTe-R), introduced a mandatory national e-receipt system.
“With effect from 1st January 2026, the Treasury will commence the issuance of FTe-R,” it stated.
These receipts, delivered via the Revenue Optimisation (RevOP) platform, will serve as proof of payment for both the payer and the government entity.
The fourth circular, dated 27 November 2025, titled Rollout and Implementation Guidelines on the Adoption of the Revenue Optimisation (RevOP) Platform, mandates MDAs to integrate financial systems with RevOP to improve billing, revenue visibility, and real-time monitoring.
Only Central Bank-licensed and OAGF-approved Payment Solution Service Providers may operate, and all existing PSSPs must connect to RevOP.
All four circulars were signed by Ogunjimi, directing accounting officers, finance directors, and internal auditors to ensure wide circulation and strict compliance.
Analysts say the measures are among the most significant reforms to federal revenue administration since the Treasury Single Account was introduced a decade ago.
Earlier in March 2025, the Federal Government unveiled the Treasury Management & Revenue Assurance System, designed to streamline federal revenue collection, manage payments across MDAs, and integrate social security, donor, and special funds.
The system’s first phase covered naira payments, allowing the OAGF and MDAs to generate bank statements, track balances, and automate deductions including VAT, Withholding Tax, and Stamp Duty.
Phase two, starting 1 June 2025, is planned to cover foreign exchange collections and full integration with MDA Enterprise Resource Planning systems.