The Point of Sales (POS) transactions increased to N807.16 billion in January 2023, representing a 40.7 percent surge when compared to N573.72 billion as of January 2022, electronic payment data from the Nigerian Interbank Settlement System (NIBSS) have shown.
The data also showed that the overall electronic payment transactions in the country surged by 45.5 percent to N38.77 trillion in January 2023, as against N26.65 trillion recorded in January 2022.
According to NIBSS, the use of electronic payment channels witnessed more patronage in response to the cashless policy drive of the Central Bank of Nigeria(CBN). On a year-on-year basis, the use of electronic payment channels rose from 438.48 million times as of January 2022 to 638 million times in January 2023.
The upsurge in POS transactions in the country followed weeks of scarcity of the new naira notes as Nigerians found it difficult to get cash even for transactionary and precautionary motives within the banking halls and ATMs, forcing many Nigerians to patronize POS operators in their neighborhoods.
Reports from many Nigerians across the country showed that many POS operators collected charges between N1500 to N2000 on the withdrawal of N10000.
A lot of POS operators are involved in the currency swap due to the approval of their request by the CBN. In January 2023, Oluwasegun Elegbede, national PRO, AMMBAN announced that the CBN had granted the request of the Association of Mobile Money and Bank Agents of Nigeria (AMMBAN) for the inclusion of a number of them as agents in the distribution of the new naira notes, noting that the CBN approval indicated better days ahead for their members.
He said: “The Central Bank of Nigeria (CBN) has swiftly responded to the requests of the Association of Mobile Money and Bank Agents of Nigeria (AMMBAN) by issuing a circular to include mobile money operators, mobile money agents, Super Agents and agents in the distribution of the new naira notes across the country. This move demonstrates the CBN’s commitment to working closely with AMMBAN and utilizing strategic agent locations for effective distribution of the new notes.
“This is a positive development for all stakeholders in the ecosystem and highlights AMMBAN’s selfless efforts to foster a collaborative relationship with the regulator and industry players. It is a clear indication that better days are ahead for genuine mobile money and bank agents in Nigeria.”