According to a news report from the Nigerian Tribune, Point of Sale (POS) agents in Kwara, organised under the Kwara Association of Professional Point of Sales Agents (KAPPSA), have expressed worry about the recently introduced 0.5 per cent cybersecurity levy on monetary transactions.

In a statement, KAPPSA's president, Mr. Ridwan Opakunle, and secretary, Olatunji Kayode, urged a reconsideration of the levy, warning that it could hinder POS operations and further disadvantage their customers, who are often from lower-income backgrounds.

The association emphasised the crucial role of POS services in grassroots economies, and fears this new levy could place a strain on their operations and the communities they serve.

Kwara Association of Professional Point of Sales Agents (KAPPSA) Calls for Review.

“In light of these apprehensions, KAPPSA has urged the CBN to re-evaluate the new charges, with a specific focus on protecting the vulnerable segments of the economy that they serve.

“While the CBN has exempted certain items from the levy, there remains ambiguity regarding whether PoS operations are included in this exemption.

“The CBN’s directive to banks to implement a 0.5 per cent cybersecurity levy on all electronic transactions within the country, effective from May 6, underscores the importance of bolstering cybersecurity measures in the financial sector.

“The levy is to be applied at the point of electronic transfer origination, deducted, and remitted by financial institutions, with the amount reflected in customers’ accounts under the designation ‘Cybersecurity Levy’.

“As stakeholders navigate the evolving regulatory landscape, it is imperative for policymakers to engage with industry representatives such as KAPPSA to ensure that regulatory measures strike a balance between enhancing cybersecurity and supporting the sustainable operation of PoS agents.”

Collaborative dialogue and a nuanced approach to regulatory frameworks will be essential in fostering a resilient and inclusive financial ecosystem in Nigeria.

Also, the PoS agents expressed their approval of the federal government’s directive requiring banks and fintech companies in Nigeria to ensure corporate registration for all their agents and operators.

“This move has been welcomed by KAPPSA, emphasizing its alignment with the association’s efforts to collaborate with relevant agencies in enhancing the integrity of the money transfer ecosystem.

“The association reiterates its commitment to promoting registration among PoS operators, emphasizing the importance of maintaining a comprehensive membership database.

“KAPPSA has engaged with various agencies such as the EFCC, CAC, NSCDC, and the Nigerian Police in a sensitisation campaign since late last year.

“The Central Bank of Nigeria (CBN) and the Corporate Affairs Commission (CAC) have set a two-month deadline for fintechs, including PoS operators, to register their agents, merchants, and individuals.

“This regulatory timeline is aimed at ensuring compliance with legal requirements and CBN directives, ultimately safeguarding the interests of fintech customers and bolstering the economy”.