The Federal Government has directed all Ministries, Departments and Agencies (MDAs) to eliminate physical cash transactions and fully adopt Point of Sale (POS) machines and other electronic payment platforms within the next 45 days.
The directive, issued by the Office of the Accountant-General of the Federation (OAGF), forms part of a wide-ranging reform aimed at closing revenue leakages, strengthening accountability, and improving transparency in public financial management.
According to the circular signed by the Accountant-General, Mrs. Oluwatoyin Madein, all MDAs must immediately configure and deploy POS terminals for revenue collection, while paper-based receipts are to be replaced with electronic receipts beginning January 2026.
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The OAGF noted that the Federal Treasury has activated a Treasury Monitoring and Compliance Team (TMCT) to ensure strict enforcement of the policy across government institutions.
Mrs. Madein explained that the measure aligns with President Bola Ahmed Tinubu’s commitment to modernizing government transactions and deepening the cashless economy. She added that any MDA that fails to comply with the new directive will face sanctions in accordance with extant financial regulations.
The circular also announced the rollout of a new Revenue Assurance and Monitoring System designed to track payments in real time and provide government with a clearer picture of revenue performance across all sectors.
The OAGF reiterated that the reforms are expected to enhance efficiency, reduce fraud risks, and improve citizens’ experience when transacting with government agencies.