By Boluwatife Oshadiya | June 26, 2026
Key Points
- The Corporate Affairs Commission says only about 20% of POS operators are registered in Nigeria
- CAC warns that some unregistered POS terminals have been linked to financial crimes, including ransom payments
- The commission and EFCC have pledged stronger collaboration to improve oversight and combat illicit financial activities
Main Story
The Corporate Affairs Commission (CAC) has disclosed that only about 20 per cent of Point of Sale (POS) operators in Nigeria are formally registered with the commission, raising concerns over regulatory compliance and the growing misuse of unregistered businesses for financial crimes.
Chairman of the CAC Board, Sen. Ibrahim Hassan Hadejia Ida, made the disclosure during a courtesy visit to the Executive Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, at the anti-graft agency’s headquarters in Abuja.
Ida said the low level of registration violates provisions of the Companies and Allied Matters Act (CAMA) 2020 as well as the Central Bank of Nigeria’s Agent Banking Regulations, which require businesses operating under a registered business name to obtain legal registration with the CAC.
The CAC chairman warned that intelligence gathered by the commission suggests some unregistered POS operators have become channels for moving proceeds of crime, including ransom payments in kidnapping cases and other illicit financial transactions.
“The increasing use of unregistered POS terminals for criminal activities poses a serious threat to Nigeria’s financial system and underscores the need for stronger regulatory enforcement,” Ida said.
To address the challenge, he proposed closer collaboration between the CAC and EFCC through intelligence sharing, joint public awareness campaigns and specialised capacity-building programmes aimed at strengthening corporate regulation and tackling emerging financial crimes.
Responding, EFCC Chairman Ola Olukoyede said investigations into over 200 companies previously referred by the CAC had yielded significant intelligence, adding that procurement fraud and the abuse of registered corporate entities account for more than 80 per cent of financial crimes investigated by the commission.
Olukoyede also acknowledged that regulating POS operators remains a major challenge and called for stronger oversight and improved coordination among regulatory agencies to safeguard the integrity of Nigeria’s financial ecosystem.
What’s Being Said
“The low registration rate contravenes the Companies and Allied Matters Act and the CBN Agent Banking Regulations. Stronger collaboration is needed to curb the misuse of unregistered POS operators for criminal activities,” Sen. Ibrahim Hassan Hadejia Ida, Chairman, Corporate Affairs Commission.
“More than 80 per cent of financial crimes investigated by the EFCC involve procurement fraud and registered companies. Strengthening collaboration with the CAC will improve enforcement and enhance corporate transparency,” Ola Olukoyede, Executive Chairman, Economic and Financial Crimes Commission.
What’s Next
- The CAC and EFCC are expected to review and update their existing Memorandum of Understanding to strengthen joint enforcement and intelligence sharing.
- Both agencies plan to intensify public sensitisation campaigns to encourage business registration and improve compliance with corporate regulations.
- Regulatory agencies are also expected to strengthen oversight of Nigeria’s expanding POS ecosystem as authorities intensify efforts to combat money laundering, fraud and other financial crimes.
Bottom Line
The Bottom Line: Nigeria’s rapidly expanding POS network has become a critical part of financial inclusion, but weak registration compliance is creating regulatory vulnerabilities. Stronger enforcement, better inter-agency cooperation and improved compliance by operators will be essential to preserving trust in the country’s digital payments ecosystem while reducing opportunities for financial crime.
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