CBN Gives Banks 30 Days to Implement Dual PoS Connectivity

Table of Contents

1. Directive Overview
2. Policy Update
3. New Requirements
4. Compliance Measures
5. Reporting Obligations
6. Recent Developments

The Central Bank of Nigeria (CBN) has instructed all banks, financial institutions, acquirers, and payment service providers to implement mandatory dual connectivity for Point of Sale (PoS) transactions within the next month.

This directive, outlined in a circular dated December 11, 2025, was signed by Rakiya Yusuf, the Director of Payments System Supervision.

This policy updates a previous directive issued in September 2024.

According to the apex bank, the new requirement aims to address ongoing PoS downtime attributed to reliance on a single transaction channel.

As per the policy, acquirers, processors, and payment terminal service providers must maintain active connections with both the Nigeria Inter-Bank Settlement System (NIBSS) and Unified Payment Services Limited (UPSL).

The CBN emphasized that the dual-connectivity framework will decrease dependence on a single aggregator and enhance the stability of the nation’s electronic payment infrastructure.

To ensure full compliance, the bank has mandated regular redundancy and failover tests. NIBSS and UPSL are required to collaborate with regulated institutions to verify that systems can maintain uninterrupted service, with test results being part of the CBN’s supervisory review.

The circular also establishes stricter reporting obligations. NIBSS and UPSL must promptly inform banks of any downtime and submit a detailed incident report to the Payments System Supervision Department within 24 hours, outlining the cause, impact, and corrective measures taken.

“The initiative aims to tackle frequent PoS downtime caused by reliance on a single transaction channel. NIBSS and UPSL must instantly notify banks during any downtime and provide a comprehensive incident report to the Payments System Supervision Department within 24 hours, detailing the cause, impact, and corrective actions taken,” the circular stated.

This directive was issued shortly after the Corporate Affairs Commission mandated unregistered PoS operators to register, while also cautioning fintech companies against unethical practices.

Eze Chidiebere Paul

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