The Federal Airports Authority of Nigeria (FAAN) has announced the cessation of all cash transactions across its operations nationwide, effective February 29, 2026, in compliance with the Federal Government’s cashless policy directive.
The decision, which received approval from the Federal Executive Council, mandates that all financial and business transactions conducted by the agency be processed strictly through approved electronic payment channels.
The directive also warns of stiff sanctions for any breach.
The development was disclosed in an internal memo signed by FAAN’s Managing Director and Chief Executive, Olubunmi Kuku, on Tuesday.
According to the memo, the move follows earlier correspondence dated November 24, issued by Shamseldeen Ogunjimi, the Accountant-General of the Federation, directing all government agencies to cease cash payments in their official dealings.
The government had expressed concern that some agencies had previously circumvented the cashless directive, a development it said was unacceptable.
“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.
FAAN directed all directors to take immediate steps to ensure full compliance across departments and airport formations nationwide. It also ordered the full adoption of alternative approved payment channels ahead of the deadline.
“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,” Kuku said.
“Alternative approved payment channels should be fully adopted, and no cash transactions should be accepted beyond the stated deadline. Failure will attract stiff penalties.”
The authority said the measure is aimed at strengthening transparency, blocking revenue leakages, and aligning airport operations with the Federal Government’s digital financial management framework.
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