By John Umeh
The Central Bank of Nigeria (CBN) has issued a fresh directive mandating all point-of-sale (PoS) terminal operators to connect their transaction systems simultaneously to the Nigeria Inter-Bank Settlement System (NIBSS) and Unified Payment Services Limited (UPSL) within one month.
The directive, contained in a circular dated December 11, 2025, applies to all acquirers, processors, and Payment Terminal Service Providers (PTSPs) and is aimed at improving transaction stability while reducing frequent service failures across PoS channels nationwide.
Signed by Rakiya Yusuf, Director of the Payments System Supervision Department, the circular states that dual connectivity to the two licensed Payment Terminal Service Aggregators has now become compulsory.
According to the CBN, all transaction-routing infrastructure must be fully integrated with both NIBSS and UPSL, allowing systems to automatically switch between the two platforms whenever one experiences downtime. This, the regulator said, is necessary to guarantee continuous transaction processing and prevent disruptions for merchants and customers.
Beyond system integration, the apex bank also emphasized the need for routine performance checks. It directed that regular testing exercises be carried out jointly by NIBSS, UPSL, and regulated financial institutions to confirm the effectiveness of redundancy measures, failover mechanisms, and overall operational resilience.
The CBN further instructed both aggregators to promptly alert the regulator of any service interruptions. In the event of downtime, NIBSS and UPSL are required to notify the Payments System Supervision Department within 24 hours, detailing the cause of the disruption and the corrective actions taken.
The central bank warned that compliance is not optional, stressing that all affected institutions must fully implement the directive within 30 days from the date of issuance. Failure to meet the deadline could attract regulatory sanctions, as the CBN continues efforts to strengthen Nigeria’s digital payment infrastructure and restore confidence in PoS transactions.
