CBN issues new rule for e-payment channels

The Central Bank of Nigeria (CBN) has continued to give directives that deepen its cashless policy with its new rule for e-payment channels, especially the Point of Sale (PoS) machine. This new directive is coming barely a month after the CBN ordered that customers should no longer be charged N50 for transactions on the PoS.

The apex bank said it had upgraded the use of the PoS by merchants or other users. The new rule is particular to messages displayed by the PoS during transactions. Now, CBN said merchants are required to obtain Acquirer Device Validation certification or the applicable testing completion notification from its licensed card schemes.

The apex banker had identified the predominant use of a single messaging format for POS transactions as an obstacle to the use of pre-authorisation as a mode of payment in Nigeria.

In a statement signed by Director, Payment System Management Department, CBN,  Musa Jimoh, “By this directive, all PoS terminal must have the capability for transaction pre-authorisation and sales completion. All card issuers are required to build the capability and enable the processes for pre-authorisation and sales-completion of transactions. Card schemes are also required to provide online simulators for acquirers and issuers to test their systems, when necessary.”