Abuja, Nigeria | September 8, 2025 – The Federal Government has directed the mandatory geo-tagging of all Point-of-Sale (PoS) terminals across the country as part of fresh measures to tackle electronic fraud and boost transparency in digital transactions.
The initiative, led by the Central Bank of Nigeria (CBN) in collaboration with security and financial sector regulators, will ensure every PoS device is linked to a verifiable geographic location. This, authorities say, will make it easier to track suspicious transactions, curb fraud, and shut down unlicensed operators exploiting loopholes in the payment system.
A senior official of the apex bank explained that the policy is designed to protect consumers and restore confidence in Nigeria’s fast-growing digital payment sector. “With geo-tagging, every PoS transaction can be traced to its exact location, which will significantly deter fraudulent practices and aid law enforcement in monitoring hotspots of illicit activities,” the official stated.
The move comes amid rising cases of electronic fraud and concerns over the unregulated expansion of PoS services across Nigeria. Reports have shown that fraudsters often exploit anonymity in mobile payments, making it difficult for regulators and security agencies to respond effectively.
While stakeholders welcomed the policy as a positive step toward financial system integrity, they urged the government to prioritize infrastructure readiness, nationwide sensitization, and proper training for PoS agents to avoid disruptions in operations. Operators also warned against the imposition of additional compliance costs that could stifle small businesses dependent on PoS services.
Nigeria has witnessed exponential growth in PoS usage in recent years, driven by the cashless economy drive and a growing demand for quick and convenient payment systems. Analysts believe that mandatory geo-tagging will not only curb fraud but also provide credible data for financial inclusion policies, urban planning, and economic development strategies.
With this move, Nigeria joins a growing list of countries deploying advanced digital monitoring tools to secure financial transactions and protect consumers in the evolving fintech landscape.
