Business
THE Association of Point of Sale Service Providers {POS} may suspend and cripple banking operations in the Country if The Central Bank of Nigeria and the FCCPC fail to immediately intervene in the alleged exclusivity practice by two companies.
The Association made the disclosure in a statement signed by Yomi Idowu, Communications Consultant to the Association.
According to Idowu, the POS operators have written a letter to protest the alleged persistent unlawful decisions of the two companies , noting that their actions negate ‘extant rules and regulations of the Central Bank of Nigeria{CBN} and the Federal Competition and Consumer Protection Act {FCCPC}, 2018.
The Association of POS Service Providers emphasized that ‘As representatives ‘ of coalition comprising several Central Bank of Nigeria Licenced payment acceptors/acquirers, processors and switches they would have no option than to suspend acceptance/acquiring ,processing and switching of Verve Card transactions.
The Point of Sales Association in the letter was quoted thus that ‘This decision has become unavoidable due to the persistent and escalating unlawful conduct of the companies which according to the Association jointly undermines ‘The integrity of Nigeria’s payments ecosystem, erodes the capital base of participating Institutions and violates several regulatory requirements.
The Association highlighted the breaches as including but not limited to
a) Maintainance of an exclusive monopoly over verve transaction processing,
b) Abuse of dominant position in the domestic card scheme market, contrary to section 72 of the Federal Competition nd Consumer Protection Act 2018(FCCPCA) and Section 3,4,7,3 of the CBN Guidelines on Operation of Electronic Payment Channels,
c) Imposition of Scheme fees in excess of the regulated Merchant Service Commission(MSC) share attributable to Acquirers under extant CBN regulations and
d) Unauthorised and unlawful debits from settlement accounts of Acquirers, and Processors /Switches.
Mr Idowu concluded that “Ironically the Association emphasized that other Card Scheme operators have since abolished all forms of exclusivity in compliance with CBN regulations”.
Vanguard
A.I
May 30, 2026
Tags: PoS