Get ready for a major shake-up in Nigeria's financial landscape! The Central Bank of Nigeria (CBN) has just dropped a bombshell directive that's set to revolutionize the way Point of Sale (PoS) transactions are conducted. But here's where it gets controversial...
In a bold move, the CBN has ordered all acquirers, processors, and Payment Terminal Service Providers (PTSPs) to connect their systems to the Nigeria Inter-Bank Settlement System (NIBSS) and Unified Payment Services Limited (UPSL) within a month. This mandatory dual connectivity is a game-changer, aiming to enhance security and compliance in the country's financial sector.
The directive, signed by the CBN's director of the payments system supervision department, Rakiya Yusuf, on December 11, 2025, is part of a broader effort to curb money laundering and promote transparency. And this is the part most people miss: it's not just about the big players; it affects every PoS operator, even the unregistered ones.
You see, the Corporate Affairs Commission (CAC) has had enough of unregistered PoS agents operating without proper registration. Starting January 1, 2026, they're cracking down hard. All operators must regularize their businesses or face the consequences. The CAC is serious about enforcing the Companies and Allied Matters Act (CAMA) 2020 and the CBN Agent Banking Regulations.
The CAC describes this trend of unregistered operators as a reckless practice, often enabled by fintech companies. And they're right to be concerned. This practice poses significant risks to the financial system and the investments of everyday citizens. It's a ticking time bomb that needs to be defused.
From January 1, 2026, unregistered PoS terminals will be seized or shut down by security officials. Fintechs facilitating these illegal operations will find themselves on the CBN's watch list. The message is clear: compliance is non-negotiable.
The CAC is committed to bringing order to the sector and ensuring the protection of users and investors. This enforcement drive is a bold step towards a more transparent and efficient financial services space.
But here's the million-naira question: will this directive be enough to deter unregistered operators and fintech enablers? Will it truly sanitize the financial services space? Share your thoughts in the comments. Let's spark a conversation about the future of Nigeria's financial landscape!
