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FG prohibits physical cash payments for all MDAs’ revenue and mandates electronic payment only.
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MDAs must deploy POS terminals and display “No Cash Payment” notices within 45 days.
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Treasury rolls out unified e-receipts, bans deductions at source, and launches RevOP digital platform.
The Federal Government has announced a complete ban on physical cash payments for all revenue collected by its Ministries, Departments and Agencies (MDAs), directing them to install and fully deploy Point of Sale (POS) terminals within 45 days.
The directive is contained in four Treasury circulars issued by the Office of the Accountant-General of the Federation (OAGF) and signed by Shamseldeen Ogunjimi, according to PUNCH.
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The government said all payments must now be made electronically through channels approved by the Treasury Single Account (TSA), warning that continued acceptance of cash “is strictly prohibited.”
In the first circular, dated November 24, the Treasury expressed concern over the persistent use of physical cash at MDA revenue points despite long-standing TSA and e-payment policies. It directed all MDAs and Federal Government–Owned Enterprises to sensitise staff and the public, and to display clear notices such as “NO PHYSICAL CASH RECEIPT” and “NO CASH PAYMENT.”
MDAs currently receiving cash must deploy POS terminals or other approved e-collection devices within 45 days, with accounting officers held personally liable for violations.
A second circular, issued November 25, ordered an end to unauthorised direct deductions by MDAs using customised payment platforms linked to Payment Solution Service Providers (PSSPs).
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The Treasury said the practice causes revenue leakages and violates fiscal transparency rules. It mandated that all charges and commissions be processed directly from government accounts, not deducted at source.
All portals and PSSPs must also be regularised with the OAGF by December 31, 2025.
The third circular, dated November 26, introduced the Federal Treasury e-Receipt (FTe-R), which becomes the only valid proof of government payment from January 1, 2026. The unified e-receipt will be issued via the Revenue Optimisation (RevOP) platform.
The fourth circular, released November 27, outlined the rollout of RevOP, a digital revenue optimisation platform designed to enhance billing, reconciliation, transparency, and real-time monitoring of government accounts. The system will interface with TSA, GIFMIS, CBN, NIBSS, FIRS, and commercial banks.
MDAs are required to nominate RevOP focal officers within seven working days and ensure the integration of their existing systems.
Only CBN-licensed, NITDA-endorsed, and OAGF-approved PSSPs will be allowed to operate under the new regime.
The Treasury further ordered MDAs to submit details of all local and foreign currency accounts within 60 days and warned that non-compliance would result in suspension of access to TSA and GIFMIS.
The reforms, regarded as the most sweeping changes since the TSA’s launch a decade ago, follow the government’s introduction of the Treasury Management & Revenue Assurance System in March 2025 to streamline revenue processes across MDAs.
