CBN Imposes Strict Transaction Limits on PoS Agents

By Samaila Emmanuel Bzugu

In a bid to promote a cashless economy, the Central Bank of Nigeria (CBN) has introduced stringent transaction limits for Point of Sales (PoS) agents. As of Tuesday, PoS agents are restricted to a daily transaction limit of N1.2 million, while customers can only withdraw a maximum of N100,000 daily.

This move aims to enhance the use of electronic payment channels for agency banking operations and curb fraudulent activities

This move aims to enhance the use of electronic payment channels for agency banking operations and curb fraudulent activities. The CBN has also mandated that agent banking services be separated from merchant activities, with agents required to use the approved Agent Code 6010 for all transactions.

The new policy also sets a weekly withdrawal cap of N500,000 for customers. Additionally, all agency banking activities must be conducted through float accounts maintained with principal institutions.

The CBN has emphasized the importance of uniform operational standards, fraud prevention, and improved monitoring within the agent banking sector. While this policy may pose challenges for PoS operators and customers, particularly in areas with limited banking infrastructure, it is expected to contribute to the advancement of Nigeria’s cashless economy.