The Federal Airports Authority of Nigeria (FAAN) has formally announced that it will cease all cash transactions across its operations from February 29, 2026. This decision is part of a broader initiative by the Nigerian Federal Government to shift towards a cashless economy, reflecting an effort to streamline financial processes in government agencies. The directive was conveyed through an internal memo signed by the Managing Director, Mrs. Olubunmi Kuku, indicating that all cash collections must stop in compliance with this new policy.

The move follows a recent directive from the federal government, communicated by the Accountant-General of the Federation, Shamseldeen Ogunjimi, which mandated that all government agencies transition to cashless systems in their dealings. This initiative comes in response to concerns over certain agencies circumventing existing processes for cash payments, which the government has expressed dissatisfaction over. The transition is expected to enhance efficiency in transactions and reduce the risks associated with cash handling.

This shift to a cashless system is also indicative of a broader trend in Nigeria towards digitization and modernization of financial systems. By implementing such policies, the government aims to promote transparency, reduce corruption, and improve the overall financial management within public institutions. As FAAN, a critical agency responsible for managing Nigeria's airports, embraces these changes, it reflects the government's commitment to modernizing its operations in line with global trends.