FG Directs 1.9 Million PoS Operators to Register

In response to legal requirements and Central Bank of Nigeria (CBN) guidelines, Point of Sale (PoS) companies are mandated to register their agents, merchants, and individuals with the Corporate Affairs Commission (CAC) within a two-month period.

The directive was issued during a meeting between Fintech representatives and Hussaini Ishaq Magaji, the Registrar-General of CAC, held in Abuja on Monday.

More than 1.9 million PoS terminals have been deployed nationwide by businesses and private citizens, as reported by the Nigeria Inter-Bank Settlement System.

The head of CAC emphasized that the registration initiative aims to safeguard Fintech customers’ businesses and stimulate economic growth. He cited the Companies and Allied Matters Act (CAMA) 2020 and the 2013 CBN guidelines on agent banking as legal foundations for this action.

• EFCC Releases Full List Of 58 Ex Governors That Embezzled N2.187 Trillion
• 10 Suspects Arrested by Lagos Police in Organ Harvesting Operation
• Ex-FCMB Manager Gets 121-Year Sentence for N112M Fraud
• UNN to host S’East regional centre for AI

The registration deadline is set for July 7, 2024, and the measure is intended to benefit businesses across the board, without favoring any specific group or individual.

This directive aligns with recent developments in the financial sector, including the CBN’s decision to restrict cryptocurrency trading and concerns over fraud involving PoS terminals. According to the Nigeria Inter-Bank Settlement System Plc’s fraud report for 2023, PoS terminals accounted for 26.37% of fraud incidents.

Major fintech companies like Kuda, Opay, PalmPay, and Moniepoint were instructed by the CBN to halt onboarding new users and to warn existing users against cryptocurrency trading. The CBN’s actions are part of ongoing efforts to audit fintech companies’ Know-Your-Customer procedures, amidst concerns over money laundering and terrorism financing.

• UniAbuja Sets New Standard: Graduating Students Must Register Companies with CAC
• OPay Denies Opening Accounts for Customers Without Consent
• CBN Urges Banks & PoS Operators to Halt Cash Disruption Activities
• Obi Extends Birthday Wishes to Soludo
• Tinubu nominates new CBN Governor

In compliance with the CBN’s stance on cryptocurrency trading, Opay announced strict penalties for users violating its policies. Several fintech industry stakeholders have pledged to collaborate with regulatory authorities to ensure seamless implementation of the registration directive.

As the fintech sector navigates evolving regulatory landscapes, cooperation between industry players and regulatory bodies will be crucial in fostering transparency, accountability, and trust in Nigeria’s financial ecosystem.