Tinubu Orders Reversal of FAAN Cashless Policy After Airport Chaos

President Bola Tinubu has approved the immediate suspension of the controversial cashless toll payment system, which was recently introduced by the Federal Airports Authority of Nigeria (FAAN) at major airports across the country. This directive comes barely four days after the policy took effect on March 1, 2026, a move that had triggered massive gridlock, widespread public outrage, and significant disruption at key airport hubs in Lagos, Abuja, and other locations.
The "Operation Go Cashless" initiative, as FAAN described it, aimed to ban cash payments at all FAAN-controlled points, including toll gates, car parks, and executive lounges. The authority had unveiled several digital payment channels to facilitate this transition, including the FAAN Go Cashless Card—touted as the fastest and most seamless option—E-Tag for frequent users, VIP Stickers for authorized vehicles, and ATM/Debit Card payments via POS terminals. Users were advised to obtain the Go Cashless card at commercial offices, access gates, or through an online portal, promoting a "Tap and Go" system for quicker transactions and reduced queues.
FAAN, which partnered with Paystack and first announced the initiative in September 2025, had justified the policy as a means to eliminate corruption, improve transparency, and significantly boost revenue generation, projecting a potential 75% increase through improved transparency and reduced cash handling. The move was also aligned with broader Federal Government reforms to digitize revenue collection systems and reduce leakages associated with manual cash handling, as well as a directive from the Central Bank of Nigeria.
However, the reality on the ground starkly contrasted with these projections. From its very first day of implementation, the policy plunged airports into chaos. Motorists without prepaid cards struggled to gain entry, and POS terminals experienced significant slowdowns due to banking network issues. This resulted in long queues and vehicular gridlock that stretched far beyond airport premises, causing passengers and motorists to be stranded for hours. Many travellers reported missed flights and delayed pickups, leading to widespread frustration and public outcry.
Following the severe disruptions and public suffering, President Tinubu intervened, expressing his concern over the hardships faced by Nigerians. Aviation Minister Festus Keyamo, addressing State House correspondents after a Federal Executive Council (FEC) meeting, confirmed the President's approval for the suspension. Keyamo stated that the President has instructed the Ministry to "go back to the drawing board and restrategize on the policy." He clarified that those who had already purchased payment cards could continue to use them, alongside cash payments, until the Ministry and relevant agencies devise a new way forward.
Ironically, just hours before the suspension order, Minister Keyamo had publicly defended the cashless initiative on X, emphasizing the government's determination to eradicate cash collections at airport gates to eliminate corruption and optimize revenue. He had pledged to review the first week of implementation with his team to improve efficiency, stating, "this government is determined to end the practice of collecting cash at our gates. Kindly bear with us, please." Despite the temporary suspension, the Federal Government has reaffirmed its decision to eventually end cash collections at Nigerian airports, indicating that the current pause is a strategic reassessment rather than an abandonment of the underlying goal.
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