In the recent conversation between the Channels TV Host and AMMBAN President discussed the challenges and regulations faced by POS operators in Nigeria. The key points include:
-The mandatory CAC registration for POS operators is seen as unnecessary for some industry stakeholders, especially for nano agents.
-AMMBAN, the Association of Mobile Money and Bank Agents in Nigeria, is concerned about the lack of clarity on the CBN’s cybersecurity levy and its potential impact on transaction costs.
-The panelists discussed the decreasing cash availability at ATMs and attributed it to people’s reluctance to deposit due to CBN’s cash handling charges.
-There are concerns that recent CBN policies, including the BVN-NIN linking and agent location revalidation, might reverse the financial inclusion progress.
The National President of the Association of Mobile Money and Bank Agents of Nigeria (AMMBAN), Mr. Sharafadeen Fasasi, has raised concerns about the burden of industry regulations on point-of-sale (POS) operations in Nigeria even though Industry regulations play a crucial role in shaping the business environment in any country, including Nigeria.
“The call for all POS Agents to register with the CAC is a fundamental blunder!” Fasisi said.
(Fasisi, 2024)
In his analysis, Mr. Fasasi emphasized that the stringent regulatory requirements imposed by the Central Bank of Nigeria and other authorities are creating challenges for POS operators, leading to increased costs and administrative burdens. High license and renewal fees, compliance with KYC and AML regulations, and unclear guidelines are also some of the key issues highlighted.
Mr. Fasasi further underscores the importance of a balanced regulatory approach that fosters financial inclusion and innovation while protecting consumers and the financial system. Collaborative efforts between regulators, industry stakeholders, and policymakers are needed to create a regulatory environment conducive to the growth of POS operations in Nigeria. Addressing these concerns and fostering dialogue among stakeholders is crucial to unlocking the full potential of POS services in driving economic growth and financial inclusion in the country.
Watch the video attached below for full details ⬇️
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