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The Central Bank of Nigeria (CBN) has announced a new policy that directly affects every Point of Sale (PoS) operator across the country. In a circular released on 26 August 2025, the apex bank gave all PoS agents a 60-day deadline to register the exact location of their terminals through a process called geo-tagging. The deadline ends on 20 October 2025. Read Our Last Post: Mother in Tears as Three-Year-Old Son Drowns in Well After Weekend Visit with Father
According to the CBN, this decision is to fight fraud, strengthen security, and protect millions of Nigerians who use PoS services daily for payments, withdrawals, transfers, and bills. The circular explained that once a terminal is linked to a specific location, the system will immediately detect if it is used outside its registered address. Such machines will be flagged, and devices that fail to comply by the deadline will be disabled.
For those who may not understand, geo-tagging simply means fixing the exact position of the PoS machine on a digital map using GPS. It works like dropping a pin on Google Maps to show the precise location. This means if a PoS terminal is registered in Lagos Island market or at the main market in Onitsha, the CBN system will confirm that it is actually there.
The move is expected to expose ghost terminals, cloned devices, and fake machines that fraudsters use to defraud unsuspecting customers. From now on, once a PoS device is moved away from its registered GPS point, it will automatically be flagged, disconnected, and rendered useless, just like a WiFi device that loses its connection.
While many Nigerians see this as a positive step, especially in the fight against financial crime, there are concerns. Some operators worry that the cost of acquiring newer machines with GPS functions may be high. Small business owners fear that these costs may be passed down to customers in the form of higher service charges.
Another concern is the possibility of network glitches. If the GPS signal fails during a transaction, a genuine PoS operator could be wrongly flagged as fraudulent. This might cause delays or even lead to the temporary suspension of honest businesses.
Speaking to our correspondent, a PoS agent in Onitsha said, “I like this policy because it will expose fraudsters, but we are scared that new machines will be too costly. If that happens, agents will increase their charges, and customers will be the ones to suffer.”
The financial lesson in this new development is very clear. Technology is becoming the future of finance, and regulation will continue to tighten. For PoS agents, it is a reminder that the business is no longer just about cash withdrawals and transfers; it is about compliance, transparency, and trust. For customers, it is assurance that transactions will soon be safer, traceable, and more reliable.
The CBN has insisted that the policy is in the best interest of the public. It promises that once implemented, it will help reduce fraud cases, make it easier to trace suspicious activities, and provide more confidence in the financial system.
However, until October, PoS agents are racing against time to meet the deadline. Those who fail to geo-tag their machines may be cut off, and this could create a temporary shortage of PoS services in certain areas.
As the deadline draws closer, one thing is clear: the future of cash transactions in Nigeria is changing fast, and both agents and customers must adjust to the new financial reality.
