The Central Bank of Nigeria has issued a directive warning requiring all Point of Sale (POS) operators to process transactions through licensed Payment Terminal Service Aggregator (PTSAs.)
This was highlighted in a circular posted on Thursday, which emphasized that the directive is designed to improve the tracking and managemant of electronci transactions across the country.
In an effort to tackle concerns about channeling all PoS transactions through a single aggregator, the CBN granted a second PTSA licence to the Nigeria Interbank Settlement System Plc, which has held a PSTA licence since 2011.
The CBN also mandated that all acquirers—institutions responsible for processing PoS payments—must route transactions through either of the two licensed aggregators.
Payment processors are also required to integrate with both PTSAs to give acquirers the flexibility to select their preferred provider.
Additionally, the CBN has tasked Payment Terminal Service Providers (PTSPs), which manage PoS terminals, to configure their devices to work with any PTSA chosen by the acquirers.
Furthermore, the CBN has set a 30-day compliance deadline for all Payment Service Providers (PSPs) to align their operations with the new directive. Failure to comply will result in sanctions.
This follows a July 7 directive by the Corporate Affairs Commission, which mandates all PoS operators to register with the commission by September 5.
