Across Nigeria, Point of Sale (PoS) agents are transforming access to financial services for millions. According to a report titled ‘Access to Finance: The Nigerian Perspective (2024–2025),’ it revealed that 95.4 percent of the 3,200 people it surveyed disclosed that they preferred using PoS to make various transactions.
According to the Nigeria Inter-Bank Settlement System Plc (NIBSS), PoS terminals reached 5.56 million by the end of 2024, a 127.07 percent increase from 2023.
“Only 4.6 percent of respondents do not use PoS agents. Beyond making deposits and withdrawals, these agents register bank accounts and give out debit cards, among other things,” the report said.
The report disclosed that 41.3 percent of the surveyed respondents prefer to receive money from PoS agents, through other people’s accounts, and waybill/bus drivers, and 17.8 percent also prefer PoS agents and other people’s accounts.
Also, Intelpoint disclosed that there are over 4,400 commercial bank branches in Nigeria. With an adult population of 133.3 million, this translates to 30,008 adults per one commercial bank. It further disclosed that Nigeria has 64.9 million unique account holders as of December 2024.
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The report indicates that PoS agents have become the vanguard of financial inclusion, especially in remote and underserved communities.
“I used to keep my savings under my bed,” says 54-year-old farmer Ibrahim Bello from Katsina. “Now, I deposit money with my local agent, and he helps me send money to my son in Kano.”
In Lagos State, market women use PoS agents to make daily contributions to Ajo savings schemes, while in Bayelsa, fishermen use agents to receive payments from buyers in Port Harcourt, without ever entering a bank.
The Enhancing Financial Inclusion and Advancement (EFInA) recently reaffirmed its commitment to ensuring that 80 percent of Nigerian adults have access to and utilise quality formal financial services by 2030. PoS agents are emerging as key actors in meeting this goal.
The Central Bank of Nigeria (CBN) introduced agent banking and PoS terminals in 2013 as part of its efforts to promote financial inclusion and drive a cashless economy. This policy improved banking accessibility and empowered thousands of Nigerians to become PoS operators.
Challenges:
Despite their success, people using PoS agents and these agents face multiple challenges. These include unreliable internet connectivity, cash shortages, security risks, and high transaction costs.
“I was robbed last year, and since then, I only hold limited cash,” says Victoria Olaniyi, a PoS agent at Fadeyi. “We need better protection and more support from the government.”
Similarly, there are concerns about the high transaction fees of PoS agents. However, they still play a significant role in serving the unbanked as they act as the bridge between those without a bank or mobile money account and those who have one.
The spread of agency banking, which is a function of the low barrier to entry, makes them an integral part of the country’s formal financial ecosystem.
“PoS agents aren’t just cash handlers,” says Adeshina Ajayi, a blockchain consultant and financial inclusion expert. “They are digital bankers, insurance advisors, and community data points.”
