The Corporate Affairs Commission (CAC) has issued a stern directive that will reshape Nigeria's digital payment landscape. The commission has declared that all Point-of-Sale (PoS) terminals operating without proper registration will be shut down, with their machines seized by security agencies, effective from January 1, 2026.
Strict Deadline and Enforcement for PoS Agents
In a decisive move, the CAC has set a hard deadline for the regularization of all PoS businesses across the country. The commission, in a statement dated December 6, 2025, described the operation of unregistered terminals as a "reckless practice" that must cease. From the start of 2026, no PoS operator will be permitted to function without completing the mandatory CAC registration process.
The statement explicitly warned that security officials will be mobilized nationwide to enforce this directive. Their mandate will include the power to seize or forcibly shut down any PoS terminal found to be operating illegally. The CAC has advised all operators to begin the registration process immediately, emphasizing that compliance is not optional but compulsory.
Fintech Companies Placed Under Surveillance
Beyond targeting individual agents, the regulatory crackdown extends to the financial technology (fintech) platforms that provide the backbone for these transactions. The CAC disclosed that fintech firms found to be enabling or facilitating illegal operations are now under strict surveillance.
Such companies will face severe consequences, including being placed on an official watchlist. Furthermore, the CAC will report offending fintechs directly to the Central Bank of Nigeria (CBN) for further regulatory action. This highlights a coordinated effort between the CAC and the CBN to sanitize the agent banking network.
Risks to Financial System and Citizen Funds
The commission justified its tough stance by pointing to the significant risks posed by the proliferation of unregistered operators. It stated that this practice, often aided by some fintech platforms, exposes Nigeria's entire financial system and the funds of ordinary citizens to danger.
The operation of these unregistered businesses is a clear violation of two key regulatory frameworks: the Companies and Allied Matters Act (CAMA) 2020 and the CBN's Agent Banking Regulations. The CAC's final message was unambiguous: "Compliance is mandatory." All stakeholders in the fintech and agency banking ecosystem must now race to regularize their operations before the enforcement hammer falls in January 2026.
