Why CBN Mandates PoS Operations to Register with CAC…details

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CBN

The Cenral Bank of Nigeria (CBN) has mandated PoS operations to register with Corporate Affairs Commission (CAC).

 

In a significant move to bolster the financial technology sector, the Central Bank of Nigeria (CBN) has set a deadline of July 7, 2024, for all Point of Sale (PoS) service providers to register with the Corporate Affairs Corporation (CAC).

 

CBN

According to CHANNELS TELEVISION, this announcement came to light at a recent gathering in Abuja, where leaders from the Fintech community and the CAC’s top official, Hussaini Magaji, convened to discuss the new directive.

 

The CAC’s chief, Magaji, emphasized that the two-month window for registration is a legal necessity that aligns with the CBN’s guidelines. The initiative is designed to protect the interests of Fintech customers and contribute to the nation’s economic stability. The CAC released a statement confirming the agreement on the deadline, highlighting the importance of this measure for the industry’s fortification.

 

Furthermore, the mandate is supported by the legal framework of the Companies and Allied Matters Act (CAMA 2020), specifically Section 863, Subsection 1, and the CBN’s 2013 regulations on agent banking. Magaji clarified that the registration period, ending on July 7, is not intended to single out any particular group or individual but rather to ensure the security and integrity of business operations within the Fintech sector.

 

 

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