PoS operators in Nigeria have increased withdrawal charges due to the N50 electronic money transfer levy imposed by the Central Bank of Nigeria (CBN) and cash shortages. The hike, caused by rising operational costs, affects transactions and has led to higher fees for customers, especially during the festive season.
Point-of-sale (PoS) operators across Nigeria have raised withdrawal charges due to the introduction of a N50 electronic money transfer levy by the Central Bank of Nigeria (CBN) and ongoing cash shortages.
The levy, which started in December, affects both fintechs and bank agents, leading operators to increase fees for transactions, such as N200 for every N5,000 withdrawn. The levy, though not new, has been recently enforced for fintechs, who control a significant portion of PoS services. Operators have pointed out that the additional charges from both the CBN and fintech companies, coupled with rising operational costs like data and rent, have made it necessary to raise fees. While the fee hikes are partly due to the festive season’s cash scarcity, operators hope the situation will improve once the holiday rush subsides.
The CBN’s daily withdrawal limit on PoS terminals has also added to the challenges for these operators, making cash access more difficult. Despite these struggles, many PoS operators are adjusting their charges to stay afloat, with some in areas like Abuja now charging up to N500 for N10,000 withdrawals.
