- Sets N100,000 daily cash-out limit for PoS operators
- Principals to bear liability for agent non-compliance
The Central Bank of Nigeria (CBN) has rolled out a new policy aimed at reinforcing its drive toward a cashless economy, imposing stricter cash transaction limits on Point of Sale (PoS) operators. Effective immediately, the directive caps daily cash-out transactions at N100,000 per customer for PoS agents and N1.2 million in total daily transactions by any operator.
The policy, detailed in a circular issued on Tuesday and signed by Oladimeji Yisa Taiwo of the CBN’s Payments System Management Department, also restricts cash withdrawals across all channels to N500,000 per customer per week.
Key Policy Directives
- Transaction Limits:
- Maximum cash-out via PoS per customer: N100,000 per day.
- Total cash-out by any PoS agent: N1.2 million per day.
- Weekly withdrawal cap for all customers: N500,000.
- Operational Oversight:
- Agency banking activities must operate exclusively through designated float accounts, distinct from merchant accounts.
- Agents are required to use Agent Code 6010 for all transactions, ensuring uniformity.
- All PoS terminals must be connected to the Payment Terminal Service Aggregator (PTSA) for effective monitoring.
- Data Reporting:
- Daily transaction data and float account balances must be electronically submitted to the Nigeria Inter-Bank Settlement System (NIBSS). The CBN will provide a standard reporting template for consistency.
Compliance and Enforcement
The CBN emphasized that principals of PoS operators bear full responsibility for the actions and omissions of their agents. Violators face penalties, including monetary fines and administrative sanctions. The bank warned it would conduct impromptu back-end configuration checks to ensure compliance.
These measures, the CBN noted, are crucial to curbing fraud, streamlining cash management, and encouraging the use of electronic payment channels. The policy also aims to address inefficiencies in the agency banking sector, while bolstering trust in digital financial systems.
A Step Forward for Digital Payments
By tightening cash handling policies and enhancing oversight mechanisms, the CBN continues to champion the transition to a cashless economy, reinforcing its commitment to modernizing Nigeria’s financial ecosystem.
