In a detailed statement issued on August 26, 2025, and provided to Newsmen, the Central Bank of Nigeria (CBN) announced a major new policy mandating the use of advanced geolocation technology for all Point-of-Sale (PoS) terminals across the country.
This initiative is part of a comprehensive strategy aimed at significantly curbing digital payment fraud, enhancing regulatory oversight, and modernizing Nigeria's financial payment infrastructure.
The CBN specified that this directive is designed to ensure that all PoS terminals are not only traceable but also operate with a heightened level of transaction security. A core component of the new policy is that terminals found to be operating outside their registered business location will be automatically flagged for investigation.
Non-compliant devices will face immediate deactivation, rendering them inoperable.
This new measure is intended to eliminate "ghost" or cloned terminals, which are often used in fraudulent activities. By mandating real-time location tracking, the CBN will be able to monitor transactions more effectively.
The new requirements for PoS devices include the integration of native geolocation features and double-frequency GPS receivers to ensure accurate and reliable tracking.
Under the new regulations, every PoS device must capture and transmit its precise location at the beginning of each transaction.
Any transaction initiated from a location exceeding a 10-meter radius of the registered merchant address will be automatically flagged by the system.
The CBN has set a strict deadline of October 20, 2025, for all existing and newly deployed PoS terminals to comply with these new standards.
Devices that fail to meet this deadline will be permanently deactivated and prohibited from operating within the Nigerian payment network.