Toba Owojaiye reporting
Abuja, Nigeria
Nigeria’s Point of Sale (PoS) transactions have reached an unprecedented N18 trillion in 2024, marking a 69% increase from the N10.7 trillion recorded in 2023, according to data from the Nigeria Inter-Bank Settlement System (NIBSS). The volume of transactions also saw an 8% year-on-year rise, totaling 1.5 billion in 2024, up from 1.4 billion in the previous year.
Truth Live News gathered that this surge is largely attributed to the persistent scarcity of cash at ATMs and the aggressive deployment of PoS terminals by fintech companies. The expansion of fintechs into the PoS market has significantly increased the availability of PoS devices, facilitating easier transactions for consumers. Commercial banks, previously the primary providers of PoS terminals, have also played a role in this growth.
Truth Live News gathered that, as of July 2024, the number of deployed PoS terminals in Nigeria rose to 3.04 million, a 32% increase from 2.3 million in July 2023. This equates to approximately one PoS terminal for every 38 Nigerians, underscoring the growing reliance on PoS operators, especially in the face of ATM cash shortages.
The PoS sector has also become a significant contributor to employment in Nigeria. While exact current figures are scarce, data from 2018 indicated there were about 167,000 active PoS operators in the country. Given the substantial increase in PoS terminals since then, it is reasonable to infer that the number of operators has also risen, contributing to job creation and economic activity.
The N18 trillion recorded in 2024 is a significant milestone for the Nigerian economy, indicating a shift towards a more digital and cashless society. The growth in PoS transactions is expected to continue, driven by the increasing adoption of digital payment systems and the expansion of fintech services in the country.
As the Nigerian economy continues to evolve, it is likely that we will see even more innovative payment solutions emerge, further driving the growth of PoS transactions.