CBN Directs Service Providers to Track POS Transactions
By Bala Salihu Dawaki
The Central Bank of Nigeria (CBN) has directed payment service providers to begin tracking all Point of Sale (POS) transactions.
In a circular dated September 11, 2024, the CBN gave providers a 30-day deadline to regularise with Payment Terminal Service Aggregators (PTSA).
The CBN aims to mitigate concerns about channeling all POS transactions through a single aggregator.
To achieve this, providers must route all transactions from POS terminals through any CBN-licensed PTSA. As stated in the circular.
“Acquirers are henceforth required to route all transactions from POS terminals at merchant and agent locations, whether on physical or electronic POS terminals, through any CBN-licensed Payment Terminal Service Aggregator (PTSA).
“Providers must also ensure their POS devices and applications are configured to route transactions through any PTSA, as directed by the Acquirer.
“Additionally, they must submit monthly returns to the CBN, detailing the number of merchants and agents they manage, along with the PTSA services used to route the corresponding transactions.
“Failure to comply with the directive within the given timeframe will attract appropriate sanctions, as stated in the circular: “Please be guided accordingly as non-compliance shall attract appropriate sanctions.”
