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Point of Sale (PoS) operators in Nigeria have expressed their dissatisfaction with the government’s new directive that requires them to register their businesses with the Corporate Affairs Commission (CAC).
This directive comes as a response to the legal requirements set by the Central Bank of Nigeria (CBN).
PoS operators have voiced concerns that this registration process will lead to an increase in service charges for customers, ultimately affecting their profits and discouraging new entrants into the business.
The PoS business in Nigeria has been instrumental in advancing the financial inclusion initiative by bringing banking services closer to the unbanked population.
However, the recent directive by the CAC, coupled with the 0.5 per cent cyber-security levy on all electronic transactions by the CBN, has raised concerns among operators and customers alike.
PoS operators fear that the increased charges will deter customers from using their services, leading to a decline in the use of online transactions and an increase in cash hoarding at home.
Mr. Kofi Kolawole, a PoS agent, highlighted that the registration process would negatively impact the business’s profits and increase the cost charged to customers for each transaction.
Mr. Clement Agbasi echoed this sentiment, stating that the directive contradicts the CBN’s financial inclusion initiative and could potentially discourage people from depositing their money in banks.
The new registration requirement by the CAC and the cyber-security levy by the CBN have sparked a debate among stakeholders in the financial sector, with many questioning the government’s approach to regulating the PoS industry.
As the deadline for registration approaches, it remains to be seen how this development will affect the PoS business and the broader financial inclusion landscape in Nigeria.
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