Propelled by the urgent need to curb rising fraud and safeguard depositors’ funds, the Central Bank of Nigeria (CBN) has rolled out a new directive requiring all Point of Sale (PoS) terminals across the country to be geo-tagged within 60 days, or risk being shut down.
In a circular issued on August 25, 2025, the apex bank ordered deposit money banks (DMBs), fintech operators such as Moniepoint, OPay and PalmPay, as well as Payment Terminal Service Providers (PTSPs), to ensure that every PoS device is tied to a specific business location.
“This move is aimed at curbing fraud, eliminating the use of cloned or ghost terminals, and enabling real-time monitoring of transactions,” the CBN stated.
Under the new regulation, each PoS terminal must be equipped with GPS functionality and connected to the National Central Switch through a software development kit (SDK).
This will allow regulators to verify the exact coordinates of every transaction. Merchants will only be able to process payments within a 10-metre radius of their registered business address.
Any terminal that is not geo-tagged before the October 20, 2025 compliance deadline will be disabled.
