The Federal government has ordered all point-of-sale (PoS) operators in Nigeria to register their businesses with the Corporate Affairs Commission (CAC) within two months.
This decision was made following a meeting between Fintechs and the Registrar-General of CAC, Hussaini Ishaq Magaji, in Abuja on Monday, May 7.
In a statement on Tuesday, Magaji said the two-month timeline, which expires on July 7, aligns with the Central Bank of Nigeria (CBN) regulations.
He stated that this action is supported by Section 863, Subsection 1 of the Companies and Allied Matters Act (CAMA) 2020, as well as the 2013 CBN guidelines on agent banking.
Magaji emphasized that the registration deadline, ending on July 7, 2024, is not aimed at singling out any specific groups or individuals but is genuinely intended to safeguard businesses.
“The Corporate Affairs Commission and fintech companies in Nigeria, better known as PoS operators, have agreed to a two-month timeline to register their agents, merchants, and individuals with the CAC in line with legal requirements and the directives of the Central Bank of Nigeria.
“The Corporate Affairs Commission and fintech companies in Nigeria, better known as PoS operators, have agreed to a two-month timeline to register their agents, merchants, and individuals with the CAC in line with legal requirements and the directives of the Central Bank of Nigeria.
“The agreement was reached today during a meeting between Fintechs and the Registrar-General, CAC, Hussaini Ishaq Magaji, in Abuja,” the statement reads.
According to the Nigeria Inter-Bank Settlement System, there are over 1.9 million PoS terminals deployed by merchants and individuals nationwide.
This development comes amidst a notable increase in fraud within Nigeria’s financial sector.
A recent report by NIBSS highlighted a 496.96% surge in financial sector fraud from 2019 to 2023, attributed to the growing popularity of electronic payments.