Olushola Omogbehin
The new regulatory framework of the Central Bank of Nigeria on agent banking may likely push up to 40 per cent operators of Point-of-Sale (PoS) out of business as well as cripple many small-scale businesses across Nigeria.
Fresh released by CBN last week put daily cumulative transactions per PoS agent at ₦1.2 million, limiting individual transactions to ₦100,000 per customer as well as enforcing new “exclusivity” rule that restricts agents to operate under only one financial service provider.
The National President of the Association of Mobile Money and Bank Agents of Nigeria (AMMBAN), Fasasi Sharafadeen, warned that the policy, if implemented in its current form, could render nearly 40 per cent of PoS agents jobless.
According to Sharafadeen, “About 40 per cent of PoS operators will be out of business. Many agents currently operate multiple terminals from different service providers to ensure efficient service delivery. This exclusivity rule will destroy that balance and hurt both agents and customers.”
In the new framework, all agent banking transactions must be conducted through a dedicated account or wallet maintained by the principal financial institution to ensure transparency and better oversight.
The CBN has warned that any agent found using non-designated accounts for business would be in violation of the regulation and would face sanctions.
In the framework which limits individual customer transactions to N100,000 daily, agents involved in misconduct or fraud will be blacklisted or have their agreements terminated.
Many operators of PoS have expressed deep frustration over the new policy as many of them said the ₦1.2m cap would significantly affect their business.
An operator who spoke with us said: “Sometimes I dispense over ₦1.5m in a day. This policy will reduce my income. We even buy cash to stay in business. The CBN doesn’t understand how the system works at the grassroots.”
Describing the policy as “anti-business,” many operators believe that the new policy could increase the hardship faced by women who are using PoS transactions to support their families.
Meanwhile, the implementation of the new agent location and exclusivity rules would begin on April 1, 2026
