Abuja, Aug. 27, 2025 – The Central Bank of Nigeria (CBN) has ordered all licensed operators including Moniepoint, OPay, PalmPay and banks to adopt geo-tag PoS terminals within 60 days.
The apex bank gave the directive in a circular on Aug. 25, 2025.
It said the move was meant to curb fraud, stop the use of cloned or “ghost” terminals, and make it easier to track transactions in real time.
Under the new rule, all existing PoS machines must be updated with built-in GPS systems and connected to the National Central Switch, which will monitor locations through a special software development kit (SDK).
This means that the millions of PoS devices currently used by agents and merchants across Nigeria must now be registered with exact GPS coordinates showing where each device is being used.
Merchants will only be allowed to process payments within a 10-metre radius of their registered business address.
The directive also aims to reduce fraud and unauthorised PoS activity by ensuring each terminal’s location is verified and continuously monitored.
The CBN directed that any device not geo-tagged within the deadline will no longer be allowed to operate.
The directive also applies to newly deployed PoS devices, which must be geo-tagged before activation.
Operators such as Payment Terminal Service Providers (PTSPs) and mobile money companies will be responsible for ensuring that all devices in their network comply.
The CBN said it would will begin compliance checks from Oct. 20, 2025, leaving operators with a tight two-month window to upgrade what could amount to over 4 million active terminals nationwide.
The increasing number of PoS agents and terminals is a major reason why the CBN is introducing new directives for their operation.
The CBN had earlier directed that PoS transactions should be routed through licensed Payment Terminal Service Aggregators (PTSA) to improve tracking and transparency.
The PoS operators had also been mandated to register their devices with Corporate Affairs Commission (CAC).
