The Central Bank of Nigeria (CBN) has issued a directive requiring all banks, financial institutions, acquirers, and payment service providers to implement dual connectivity for Point of Sale (PoS) transactions within the next 30 days.

Key Details of the Directive:

• Issued Date: The directive, signed by the Director of Payments System Supervision, Rakiya Yusuf, was communicated in a circular dated December 11, 2025.
• Purpose: The new policy aims to address ongoing PoS downtimes, which are often caused by reliance on a single transaction channel.
• Mandatory Dual Connectivity: To ensure reliable PoS transactions, acquirers, processors, and payment terminal service providers are now required to maintain active connections with both the Nigeria Inter-Bank Settlement System (NIBSS) and Unified Payment Services Limited (UPSL).

Key Policy Updates:

1. Redundancy and Failover Testing: The CBN has mandated that financial institutions conduct regular redundancy and failover tests to verify that their systems can maintain uninterrupted service. These tests will be part of the CBN’s supervisory review to ensure compliance.
2. Incident Reporting: Both NIBSS and UPSL are now required to notify banks immediately in the event of any PoS downtime. They must also submit a detailed incident report to the Payments System Supervision Department within 24 hours, outlining:
   • The cause of the downtime,
   • The impact on services,
   • The corrective actions taken to address the issue.

Impact and Expectations:

• Enhanced Stability: The implementation of dual connectivity is expected to significantly reduce the dependence on a single aggregator, thereby strengthening the stability of Nigeria’s electronic payment infrastructure.
• Compliance Push: This directive is in line with the CBN’s commitment to improving the reliability and resilience of Nigeria’s payment systems, ensuring smoother transactions for businesses and consumers alike.

The policy follows closely after a similar move by the Corporate Affairs Commission (CAC), which mandated the registration of PoS operators and warned against sharp practices by fintech companies.

This latest directive from the CBN is a part of broader efforts to enhance financial technology systems in Nigeria, ensuring they are robust enough to handle growing demand while maintaining high service standards.