The Federal Government of Nigeria has initiated a mandatory registration process for Point-of-Sale (PoS) operators nationwide, citing security imperatives and the need to combat criminal activities such as kidnapping.
Hussaini Magaji, Registrar-General of the Corporate Affairs Commission (CAC), disclosed the government’s stance during the formal launch of the CAC registration of fintech agents and merchants in Abuja. The move, backed by legal statutes and Central Bank directives, aims to bolster business integrity and fortify the economy.
With PoS terminals implicated in a significant percentage of fraud incidents, the government’s action underscores a broader strategy to safeguard financial transactions and restore confidence in the digital payment ecosystem. Moreover, amidst plans to curtail cryptocurrency trading, the government is keen on tightening regulatory measures to mitigate financial risks and vulnerabilities.
Magaji emphasized the urgency of compliance, warning that security agencies would take punitive measures against defaulters after the July 7, 2024 deadline. The initiative aligns with broader efforts to streamline business operations, enhance transparency, and uphold regulatory standards.
While the directive has drawn mixed reactions from PoS agents, with concerns over operational burdens and financial implications, stakeholders acknowledge its potential benefits in curbing fraudulent practices and ensuring payment security. Despite initial apprehensions, many recognize the long-term value of regulatory compliance in fostering a safer and more resilient financial ecosystem.
As Nigeria navigates complex socio-economic challenges, the government’s push for mandatory registration reflects a proactive approach to addressing systemic vulnerabilities and advancing financial inclusivity. However, the success of this initiative hinges on effective implementation, stakeholder engagement, and ongoing collaboration between government agencies and industry players.
