By Khadijah Shehu Abdulkareem
The Central Bank of Nigeria (CBN) has directed that all Point of Sale (PoS) terminals across the country must be geo-tagged within the next 60 days, in a new move aimed at curbing fraud and tightening oversight of Nigeria’s fast-growing digital payments sector.
In a circular dated August 26, 2025, obtained by our correspondent, the apex bank said the initiative would ensure that every PoS terminal is traceable, secure, and operating strictly within its registered location.
“This initiative is designed to ensure that all PoS terminals are traceable and that transactions are secure. Terminals operating outside their registered location will be flagged, and non-compliant devices will be deactivated,” the CBN said.
Deadline Set for October 20
According to the directive, all existing and newly deployed PoS devices must be equipped with native geolocation features and double-frequency GPS receivers to allow accurate tracking. Devices that fail to comply by the October 20, 2025 deadline will be deactivated and barred from further transactions.
Each device is also required to capture and transmit its location at the start of every transaction, with activities carried out beyond a 10-meter radius of the registered merchant address automatically flagged for review.
Fintechs and Banks to Comply
The new compliance rules affect both banks and licensed fintech operators, including major players such as Moniepoint, OPay, and PalmPay. These operators must register every PoS terminal with a licensed payment aggregator and provide precise merchant coordinates to the CBN.
Curbing Fraud and Protecting Consumers
Explaining the move, the CBN said the measure will eliminate the use of “ghost” or cloned terminals while allowing for real-time monitoring of digital transactions. The bank also stressed that the policy is part of its wider agenda to modernise Nigeria’s payment infrastructure, enhance consumer protection, and build greater trust in cashless transactions.