The Federal Government has rolled out a new framework designed to enforce strict financial discipline across all Ministries, Departments, and Agencies (MDAs). The latest directives place a firm cap on reimbursable imprest, restrict how often these funds can be replenished, and heighten oversight on the utilization of public finances.
These regulatory updates are detailed in the 2026 Annual General Imprest Warrant.
The document was signed by Taiwo Oyedele, the Minister of Finance and Coordinating Minister of the Economy, and distributed via a Federal Treasury Circular from the Office of the Accountant-General of the Federation.
Dated June 3, 2026, the circular carries the signature of the Accountant-General of the Federation, Shamseldeen Ogunjimi.
It grants accounting officers across the executive, legislative, and judicial branches the authority to approve funds for eligible individuals, while simultaneously establishing explicit spending caps and demanding rigorous compliance.
Under these new rules, ministers face a maximum reimbursable imprest cap of N700,000.
Permanent secretaries and directors-general are restricted to N500,000. Meanwhile, directors and department heads are capped at N300,000, and heads of formations in states alongside other approved holders are limited to N100,000.
The Office of the Accountant-General noted that these adjustments comply with Financial Regulation 1003, serving as part of a wider campaign to ensure transparency and accountability in managing public resources.
According to the circular: “All Accounting Officers in the three arms of government, including Ministries, Extra-Ministerial Offices and Agencies, are hereby authorised to approve funds to eligible imprest holders.”
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The document further specified that “the limit of reimbursable imprest shall be” N700,000 for ministers, N500,000 for permanent secretaries and directors-general, N300,000 for directors and heads of departments, and N100,000 for heads of formations and other authorised holders.
To prevent mismanagement and strengthen oversight, the government has also limited the frequency of these disbursements. Standing imprest accounts are now restricted to quarterly replenishments under standard operating conditions.
“The frequency of reimbursement of any standing imprest shall normally be once in a quarter and shall not exceed twice in a quarter where the need arises,” the circular clarified.
This specific measure is intended to drive better operational planning, curb unnecessary cash advance requests, and streamline expenditure monitoring.
Furthermore, all accounting officers and expenditure controllers must route any local procurement exceeding ₦1 million through formal contract channels, adhering strictly to established procurement laws.
The circular noted: “All local procurement of stores and services costing above N1,000,000 shall be made only through the award of contracts, except as otherwise provided by the Public Procurement Act.”
This directive underscores the administration’s focus on keeping procurement pathways competitive, open, and legally compliant.
To facilitate oversight, all self-accounting ministries, extra-ministerial departments, and agencies must submit detailed financial returns to the Office of the Accountant-General within 30 days of the circular’s issuance. These submissions must outline the retirement of 2025 imprest allocations and provide an updated list of authorized 2026 imprest holders and their locations.
Additionally, imprest holders are required to run dedicated operational bank accounts that align with the government’s electronic payment system.
They must submit monthly statements detailing incoming funds alongside documented proof of retirement to the Office of the Accountant-General, supporting the broader transition away from cash-heavy operations.
The Accountant-General cautioned that the Treasury Inspectorate Department will execute routine spot-checks throughout the financial year to ensure compliance. The circular explicitly warned of strict penalties for non-compliance.
“Any breach of the regulations in the operation of imprest accounts shall lead to the withdrawal of the right to issue any imprest by the affected accounting officer, and appropriate sanctions shall be applied accordingly,” the document stated.
The directive was widely distributed to top-tier officials, including the Chief of Staff to the President, ministers, permanent secretaries, service chiefs, the Inspector-General of Police, heads of anti-corruption agencies, and leaders of revenue-generating bodies, ensuring uniform enforcement across the public sector.
An imprest functions as a routine cash advance given to public officers for immediate, minor operational expenses that do not require full procurement procedures.
Under Nigerian Financial Regulations, recipients must completely account for these expenses with valid documentation and retire previous balances before new funds can be released.
Historically, oversight bodies and audit reports have flagged issues like poor documentation and delayed retirement within imprest management.
In response, consecutive administrations have pushed for tighter public sector controls, expanding electronic payment mechanisms and implementing the Treasury Single Account (TSA) to safeguard public funds.
