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🇳🇬 Nigeria /Economy & Trade

CBN extends PoS geo-fencing deadline to August 1

From The Punch · () English

Summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • The Central Bank of Nigeria has extended the deadline for enforcing Point-of-Sale (PoS) terminal geo-fencing to August 1, 2026.
  • This extension provides financial institutions and payment providers more time to comply with the new regulations aimed at enhancing oversight of electronic payments.
  • The CBN also increased the permissible geo-fence radius for PoS terminals from 10 to 70 meters.

The Central Bank of Nigeria (CBN) has granted a reprieve to financial institutions and payment service providers by extending the enforcement deadline for Point-of-Sale (PoS) terminal geo-fencing. The new compliance date is August 1, 2026, offering stakeholders additional time to implement the regulatory requirement designed to bolster oversight of electronic payment channels.

Further to the Circular with reference number PSS/DIR/PUB/CIR/001/001 dated August 25, 2025 on migration to ISO 20022 standards for payments messaging, mandatory geo-tagging of payment terminals, and various stakeholders’ engagement on the subject to address the operationalisation of the Circular, the Central Bank of Nigeria has considered and approved the following.

— CBN CircularReferencing the previous directive and outlining the basis for the new adjustments.

The directive, detailed in a circular dated May 29, 2026, and signed by Dr. Rakiya Yusuf, Director of the Payments System Supervision Department, follows extensive engagements with industry stakeholders. The CBN acknowledged considerations arising from the operationalization of an earlier circular from August 25, 2025, which mandated migration to ISO 20022 standards for payments messaging and the mandatory geo-tagging of PoS terminals.

Geo-fence radius is hereby increased from 10 metres to 70 metres.

— CBN CircularAnnouncing a key adjustment to the geo-fencing parameters.

Key adjustments to the framework include an increase in the permissible geo-fence radius for PoS terminals, expanding it from 10 meters to 70 meters. This measure, along with the postponed enforcement date, aims to facilitate smoother compliance while maintaining the integrity of the payments system. Geo-fencing requires PoS terminals to operate within approved geographic locations linked to merchants and agents, thereby improving transaction monitoring and reducing the abuse of payment channels.

Enforcement of PoS Terminal Geo-fence is extended to August 1, 2026.

— CBN CircularStating the new deadline for compliance with the geo-fencing requirement.

The CBN has instructed all affected institutions to submit evidence of compliance before the revised enforcement date, underscoring the importance of these measures in strengthening the overall integrity of Nigeria's digital payments ecosystem.

Evidence of compliance to the above should be addressed to the Dire

— CBN CircularInstructing institutions on the next steps for demonstrating compliance.
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Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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