The Central Bank of Nigeria (CBN) has ordered that all Point of Sale (PoS) terminals across the country be geo-tagged within the next 60 days as part of new measures to curb fraud and enhance regulatory oversight of the rapidly expanding sector.
In a circular issued to licensed operators—including Moniepoint, OPay, PalmPay, commercial banks, and Payment Terminal Service Providers (PTSPs)—the apex bank directed that all existing PoS machines must be registered with their exact GPS coordinates before the October 20, 2025 compliance deadline. New terminals, it added, must be geo-tagged before activation.
According to the CBN, the initiative is designed to combat fraudulent activities, prevent the use of cloned or “ghost” terminals, and make it easier to monitor transactions in real time.
“PoS devices must be updated with built-in GPS systems and integrated with the National Central Switch through a dedicated software development kit (SDK),” the circular stated.
Merchants will only be permitted to process payments within a 10-metre radius of their registered business addresses. Any device found operating outside its approved location will be deactivated, with PTSPs and mobile money companies held accountable for ensuring compliance across their networks.
The CBN’s directive comes as the PoS industry continues to grow at an unprecedented pace. By 2023, Nigeria had an estimated 1.5 million PoS agents nationwide—roughly one for every 80 citizens. While the system has expanded financial inclusion, it has also created loopholes for fraud, with some terminals reportedly linked to scams and even ransom payments.
The apex bank said the geo-tagging policy will tighten security, boost transparency, and restore trust in the electronic payment ecosystem.
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