By Banjo Oni
The Corporate Affairs Commission (CAC) has partnered with the Economic and Financial Crimes Commission (EFCC) to enforce the mandatory registration of Point of Sale (PoS) operators nationwide as part of efforts to strengthen corporate governance, curb financial crimes and improve transparency in Nigeria’s financial ecosystem.
The initiative is aimed at ensuring that all PoS operators are duly registered as business entities in line with existing regulatory requirements, while enhancing the ability of law enforcement agencies to track illicit financial transactions and tackle identity-related fraud.
Speaking on the collaboration, the CAC said the enforcement exercise would ensure compliance with the commission’s directives requiring PoS operators to formalise their businesses under the Companies and Allied Matters Act (CAMA).
The commission noted that proper registration would not only enhance accountability but also promote confidence in the rapidly expanding agency banking and digital payments sector.
According to the CAC, the partnership with the EFCC forms part of broader efforts to sanitise the financial services ecosystem by identifying and prosecuting operators engaged in illegal or fraudulent activities under the guise of agency banking.
The commission stressed that operators who fail to comply with the registration requirements risk sanctions, including possible enforcement actions by relevant regulatory and law enforcement agencies.
Industry stakeholders have expressed support for the initiative, noting that the formalisation of PoS businesses would strengthen Know Your Customer (KYC) compliance, improve tax administration and reduce the misuse of agency banking channels for money laundering and other financial crimes.
Analysts also believe the exercise will enhance consumer confidence in digital payment services by ensuring that operators are identifiable, accountable and subject to regulatory oversight.
The move comes amid the rapid growth of PoS transactions across Nigeria, driven by increased demand for cash withdrawal services, electronic payments and financial inclusion, particularly in underserved communities.
Market observers, however, urged regulators to complement enforcement with public awareness campaigns and simplified registration processes to encourage voluntary compliance among operators, many of whom are small business owners.
They added that sustained collaboration among regulators, financial institutions and security agencies would be critical to preserving the integrity of Nigeria’s digital payments ecosystem while supporting the continued expansion of financial inclusion.
