JUST IN: CBN Implements New Daily Transaction Limits for POS Agents

Mubashir Shehu

4 days ago

In a strategic move to promote a cashless economy, the Central Bank of Nigeria (CBN) has introduced new regulations affecting Point of Sale (POS) operations nationwide. According to the ‘Circular on Cash-Out Limits for Agent Banking Transactions’ released on December 17, 2024, these measures are designed to enhance the use of electronic payment channels and strengthen financial inclusion across the country.

Key Highlights of the New Policy:

Agent Daily Transaction Limit: POS agents are now restricted to a cumulative daily cash-out limit of ₦1.2 million.
Customer Cash-Out Limit: Individual customers can withdraw up to ₦100,000 per day through agent banking channels.
Weekly Withdrawal Cap: A maximum of ₦500,000 per customer per week is enforceable, regardless of the transaction channel.
Mandatory Connectivity: All agent banking terminals must connect to a Payment Terminal Service Aggregator (PTSA) to ensure seamless transaction reporting.
Data Reporting: Agents are required to electronically submit daily transaction reports, including withdrawals, transaction limits, and float account balances, to the Nigeria Inter-Bank Settlement System (NIBSS) for CBN oversight.
Distinct Agent Codes: Agent banking services must utilize the designated Agent Code 6010 to differentiate from merchant activities.

These measures aim to enhance the adoption of electronic payment systems and strengthen financial inclusion across Nigeria. As of July 2024, the country boasted over 3 million deployed POS terminals and more than 4 million registered units, underscoring the pivotal role of agent banking in reaching unbanked populations.

The CBN’s initiative seeks to regulate the burgeoning agent banking sector, which has become integral to daily financial transactions, especially in areas underserved by traditional banking infrastructure. By enforcing these limits, the apex bank intends to mitigate risks associated with large cash transactions and encourage the use of digital payment platforms.

POS agents and customers are advised to familiarize themselves with these new regulations to ensure compliance and avoid potential sanctions. The CBN continues to advocate for a transition towards a more digitalized financial ecosystem, aligning with global trends and enhancing economic efficiency.

Source: BusinessDay

PAWS IS THE NEXT DOGS DON'T MISS IT OUT

JOIN NOW

https://t.me/PAWSOG_bot/PAWS?startapp=6ZSAPFb3

Google News Channel

Join Our WhatsApp, Facebook, or Telegram Group For More News, Click This Link Below;

WhatsApp Channel

https://whatsapp.com/channel/0029VaELqhlHVvTXjDnUf80h

WhatsApp Group

https://chat.whatsapp.com/G6Lo3ss6WKLCOqBphZwQGk

Facebook Page

https://facebook.com/allmedia24news

Our Twitter Page

https://www.twitter.com/allmedia24news
Telegram Group