FAAN Implements Nationwide Ban on Cash Transactions Starting February 29

The Federal Airports Authority of Nigeria (FAAN) has announced a total ban on cash transactions across its operations nationwide, effective February 29, 2026. This directive, issued by the Managing Director, Mrs. Olubunmi Kuku, aligns the agency with the Federal Government’s broader cashless policy and aims to enhance transparency and accountability within the aviation sector. Under this new framework, all payments for services—including car park fees, access gates, and VIP lounge charges—must be made through approved electronic channels such as Point of Sale (POS) terminals, bank transfers, or specialized airport cards.

The transition follows a period of pilot testing under the "Operation Go Cashless" initiative, which was first launched at the Nnamdi Azikiwe International Airport in Abuja and the Murtala Muhammed International Airport in Lagos. FAAN officials have noted that the shift is designed to eliminate revenue leakages and reduce the security risks associated with physical cash handling. By automating financial processes, the agency expects to see a significant boost in its non-aeronautical revenue, which currently lags behind global standards.

To facilitate a smooth transition, FAAN has engaged with various aviation unions—including the National Union of Air Transport Employees (NUATE) and the Air Transport Services Senior Staff Association of Nigeria (ATSSSAN)—to clarify the new protocols. The agency has emphasized that there will be strict sanctions for any official or department found accepting physical cash after the deadline. Travelers and concessionaires are encouraged to adopt the new FAAN contactless cards or use other digital platforms to ensure seamless transactions at all airport formations.

As the February 29 deadline approaches, airport users are being advised to ensure their electronic payment methods are active before arriving at the terminals. FAAN has assured the public that it is working to ensure that the necessary digital infrastructure is robust enough to handle the nationwide volume of transactions.

Do you believe that Nigerian airports are technologically ready for a 100% cashless system, or will this lead to more delays at the gates? Share your comments below!

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