The Corporate Affairs Commission’s (CAC) new compliance mandate for Point-of-Sale (PoS) operators has ignited intense debate across Nigeria’s mobile money industry, setting the stage for a regulatory faceoff that could reshape the agent-banking ecosystem.
Last week, the CAC ordered all PoS operators to complete formal business registration before January 1, 2026, warning that non-compliant agents risk seizure of their terminals and immediate shutdown. The Commission described the surge in unregistered PoS agents as a growing threat to financial stability and a violation of both the Companies and Allied Matters Act (CAMA) 2020 and the Central Bank of Nigeria’s agent-banking rules.
According to the CAC, “This reckless practice, often enabled by some fintech companies, puts Nigeria’s financial system and citizens’ investments at risk.” It added that security agencies will enforce nationwide compliance and fintechs aiding unregistered agents will be placed on a regulatory watchlist.
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But the directive has sharply divided stakeholders. While the Association of Digital Payment and PoS Operators of Nigeria (ADPPON) supports the government’s intent though with conditions the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN) is pushing back strongly, accusing the CAC of overreach, duplicating regulations, and threatening financial inclusion gains.
AMMBAN Rejects ‘Multiple Registration’ Requirement
AMMBAN’s National President, Fasasi Sharafadeen, told Nairametrics that the directive is unnecessary, unconstitutional, and outside the CAC’s mandate. He noted that PoS agents already undergo extensive onboarding and verification through their financial institutions and the Nigerian Interbank Settlement System (NIBSS).
“No other informal business in Nigeria faces this level of profiling,” he said.
Sharafadeen questioned the CAC’s claim that registration would curb fraud, arguing that many CAC-registered businesses have still been implicated in financial crimes. He noted that security risks within the PoS industry are already being jointly managed by the CBN, Police, DSS, EFCC, and industry associations under an existing task force.
He added that CAC’s directive contradicts CBN agent-banking rules, which only mandate CAC registration for non-individual agents such as business names and enterprises not individuals operating under personal names. AMMBAN warned that it may return to court if the CAC does not withdraw what it calls a violation of agents’ rights.
ADPPON Supports Cleanup but Calls for Collaboration
On the opposite side, ADPPON backs the CAC’s objective to sanitize the PoS ecosystem, citing rising fraud, kidnapping, cash-out scams, and illicit transactions.
National President Paul Okafor noted that fraud in the financial sector rose from N17.67 billion in 2023 to N52.26 billion in 2024, with PoS operators increasingly targeted.
However, ADPPON warned that unilateral enforcement will fail without a coordinated multi-agency effort. It called for a harmonized compliance timeline, national verification framework, targeted sensitization, and an implementation roadmap that protects small businesses while strengthening security.
“Millions rely on PoS services daily. Regulation must balance industry cleanup with safeguarding livelihoods,” the association said.
The new deadline marks the second major registration push by the CAC. In 2024, the Commission initially directed PoS agents of OPay, PalmPay, Moniepoint, and other fintechs to register by July 7, later extending the deadline to September 5 due to technical challenges on its portal. Despite this, thousands of PoS agents remain unregistered leading to the renewed compliance drive ahead of 2026.
As January 1, 2026 approaches, tensions between regulators and operators are poised to intensify, with the future of Nigeria’s agent-banking structure hanging in the balance.
