The Central Bank of Nigeria (CBN) has introduced a new policy requiring all Point-of-Sale (PoS) terminals to be geo-tagged, warning that any device operating outside its registered business address will be deactivated.
In a circular dated August 25, 2025, the apex bank directed licensed operators, including banks, Moniepoint, OPay, PalmPay, and other fintech firms, to geo-tag every PoS device within 60 days.
Under the directive, each PoS terminal must be linked to precise GPS coordinates corresponding to its approved location. This is aimed at reducing fraud, curbing cloned or “ghost” terminals, and enabling real-time monitoring of transactions.
To achieve this, existing devices will be updated with built-in GPS technology and connected to the National Central Switch, using a dedicated software development kit (SDK). Merchants will only be able to process payments within a 10-metre radius of their registered address.
Any device not geo-tagged within the stipulated period will be blocked from the network. Newly deployed PoS machines must also comply before activation. Operators such as Payment Terminal Service Providers (PTSPs) and mobile money firms will bear the responsibility for ensuring compliance.
The CBN said enforcement checks would begin on October 20, 2025, leaving operators just two months to upgrade an estimated four million active PoS terminals nationwide.
The number of PoS terminals has surged in recent years, with Nigeria hosting 1.5 million agents as of 2023—about one for every 80 citizens. Bloomberg also reports an average
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