The Federal Government has reduced the maximum reimbursable imprest for ministers to ₦700,000 as part of new measures aimed at strengthening spending discipline across Ministries, Departments and Agencies (MDAs).
The policy was outlined in the 2026 Annual General Imprest Warrant signed by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, and circulated through the Office of the Accountant-General of the Federation.
According to the directive, permanent secretaries and directors-general will now be limited to ₦500,000, while directors and heads of departments are capped at ₦300,000. Heads of formations and other authorised imprest holders in states will receive a maximum of ₦100,000.
The government also introduced tighter rules on how often imprest funds can be reimbursed. Standing imprest will generally be retired once per quarter, with a maximum of twice where necessary.
In addition, any local procurement of goods or services above ₦1 million must now go through formal contract awards in line with the Public Procurement Act.
Accounting officers across federal institutions have been directed to ensure compliance with financial regulations, including proper documentation and retirement of all imprest advances before new approvals are issued.
MDAs operating self-accounting systems are required to submit detailed returns within 30 days. These reports must show how 2025 imprest allocations were retired and provide updated lists of approved imprest holders for 2026.
The government also directed imprest holders to operate dedicated bank accounts for official transactions. Monthly reports on inflows and retirements are to be submitted to the Accountant-General’s office.
Routine inspections will be carried out by the Treasury Inspectorate Department throughout the financial year. The circular warned that violations could lead to the withdrawal of imprest approval powers and other administrative sanctions.
Imprest refers to cash advances issued for routine government expenses that do not require full procurement procedures. Under financial rules, recipients are expected to account for spending with supporting documents and retire funds before accessing new allocations.
The new framework reflects ongoing efforts to tighten controls on public expenditure, improve documentation standards, and reduce gaps in financial accountability within the federal public service.
