By Peter.
The Central Bank of Nigeria (CBN) has issued a critical directive requiring all Acquirers, Processors, Payment Terminal Service Aggregators (PTSAS), and Payment Terminal Service Providers (PTSPs) to establish mandatory dual connectivity for Point-of-Sale (POS) transactions with both Nigeria Inter-Bank Settlement System (NIBSS) and Unified Payment Services Limited (UPSL).
The circular, signed by Director of Payments System Supervision Dr. Rakiya Yusuf and dated December 2025, gives stakeholders one month to comply—aiming to eliminate risks from routing all POS transactions through a single aggregator.
Key Requirements in the Directive
- Dual Connectivity: Active links to both NIBSS and UPSL for all POS routing.
- Automatic Failover: Systems must seamlessly switch during downtime—no manual intervention.
- Testing & Validation: Periodic joint tests with banks to ensure resilience.
- Real-Time Notifications: PTSAs must alert banks instantly on disruptions; report to CBN within 24 hours with causes and remedies.
Non-compliance risks regulatory sanctions, as this builds on CBN’s September 11, 2024, circular addressing single-aggregator vulnerabilities.
Why This Matters: Enhancing Resilience in Nigeria’s Payments Ecosystem
The move tackles systemic risks exposed by past outages—ensuring uninterrupted POS services critical for merchants and consumers. With Nigeria’s cashless push (POS transactions hit trillions monthly), redundancy prevents widespread disruptions, boosting confidence in digital payments.
Banks and providers now race the clock—expect smoother, more reliable card swipes by early 2026.
#CBNDirective #POSDualConnectivity #NIBSS #UPSL #NigeriaPayments #FinTechNigeria #CashlessPolicy #CBNCircular 🇳🇬💳
