FAAN to End Cash Payments at Nigerian Airports from February 28
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The Federal Airports Authority of Nigeria (FAAN) has announced that all cash transactions across airports nationwide will cease from February 28, as the agency moves fully to a digital payment system.
The directive was disclosed in a statement issued in Lagos by FAAN’s Director of Public Affairs and Consumer Protection, Mr. Henry Agbebire. According to the authority, the clarification followed a meeting with aviation union leaders who sought further explanation on the planned transition.
The unions involved in the engagement include the National Union of Air Transport Employees, the Air Transport Services Senior Staff Association of Nigeria, and the Association of Nigeria Aviation Professionals.
FAAN’s Managing Director, Mrs. Olubunmi Kuku, reiterated the agency’s commitment to enforcing a cashless regime at all airport payment points. She stated that the decision aligns with international standards in airport management and complies with federal directives on public finance reforms.
Kuku referenced a Treasury Circular dated November 24, 2025, issued by the Office of the Accountant-General of the Federation and endorsed by the Accountant-General, Shamseldeen Ogunjimi, mandating government institutions to discontinue physical cash handling in official transactions.
She further explained that the policy followed approval by the Federal Executive Council directing Ministries, Departments, and Agencies to eliminate cash collections and payments as part of broader accountability measures.
According to FAAN, the transition is aimed at improving transparency, curbing revenue leakages, and enhancing operational efficiency within the aviation sector. The agency maintains that the move is irreversible and essential for strengthening financial controls and service delivery.
Addressing concerns about the use of Paystack as a payment platform, FAAN clarified that the company functions solely as a processing gateway. The authority assured stakeholders that all revenues are paid directly into designated Federal Government accounts through Point of Sale terminals. Union representatives reportedly expressed satisfaction with the explanations and described the rollout framework as practical and workable.
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