The Central Bank of Nigeria (CBN) has rolled out a new policy for Point-of-Sale (PoS) operators, limiting daily transactions per operator to ₦1.2 million. Experts argue the policy could force many operators out of business and restrict cash access for millions of Nigerians.
Under the new framework, the apex bank also wants all agent banking transactions to be conducted through a dedicated account or wallet maintained by the principal financial institution.
The move, according to CBN, will strengthen the integrity of the agent banking system and promote financial inclusion. However, experts believe the step could backfire, potentially injuring small-scale businesses and threatening the country’s financial inclusion efforts.
Fasasi Sharafadeen, the National President of the Association of Mobile Money and Bank Agents of Nigeria, warns the policy could render no less than 40 percent of PoS operators out of business.
“Today, there are over three million PoS terminals in circulation, and about two million active agents,” says Sharafadeen. “Many of these agents operate multiple terminals from different service providers to ensure efficiency and customer satisfaction. The new exclusivity rule will destroy that balance.”
Since 2013, PoS terminals have overtaken ATMs as the default option for many Nigerians. By March 2025, there were 8.36 million registered PoS terminals, with 5.9 million active or deployed, representing about 119 percent rise from 2.69 million active terminals in March 2024. According to the International Monetary Fund (IMF), there are about 1,600 PoS operators per square kilometre in Nigeria, making them nearly impossible to avoid.
Boniface Okezie, the National Chairman of the Progressive Shareholders Association of Nigeria, describes the new policy as over-regulation of businesses.
“They should focus on fixing the quality of currency in circulation and ensuring banks dispense clean notes. Commercial banks pay billions to sort out bad currency, yet the CBN is busy making new rules for PoS operators instead of doing what it’s supposed to do,” notes Okazie.
For years, PoS operators have become the backbone of financial access for the underbanked and the unbanked. In areas where bank branches are nonexistent, these agents are the last option for rural areas. With the new withdrawal cap, that lifeline is being threatened.
According to Enhancing Financial Innovation and Access (EFInA), only 38 percent of rural adults in Nigeria live near financial service providers. Most rely on PoS agents for cash, as only a fraction can access bank branches. For PoS terminals, the ₦1.2 million limit is not just inconvenient, it’s a threat to their businesses.
The Nigeria Inter-Bank Settlement System (NIBSS) estimates that PoS terminals led to a record transaction of over ₦10 trillion in the first quarter of 2025, marking about 300 percent increase from more than ₦2 trillion in the first quarter of 2024. Invariably, this signals about ₦116 billion per day, ₦4.87 billion per hour, ₦81.11 million per minute, and ₦1.35 million per second, underlining PoS’s increasing role as a primary means of cash for many.
Haliru Musa, a PoS operator in Sokoto, told The Liberalist that the limit would significantly cripple his daily operations and savings. He says,“my primary source of income is this business. Sometimes, I make a daily transaction of even over ₦2 million. But if this new policy is implemented, it means my profit would be limited based on the daily cap even if I have several customers.”
