Point-of-Sale (PoS) operators across Nigeria have increased their withdrawal fees, now charging between ₦150 to ₦200 for every ₦5,000 transaction, up from the previous rate of ₦100.
The operators attribute this hike to the ₦50 Electronic Money Transfer Levy (EMTL) imposed by the Federal Inland Revenue Service (FIRS) on financial technology (fintech) companies.
In September, fintech firms announced plans to implement the ₦50 levy on transactions of ₦10,000 and above, citing compliance with FIRS regulations. This levy is a one-time charge on electronic transfers or receipts of ₦10,000 or more into both personal and business accounts via commercial banks or financial institutions.
The federal government officially enforced the policy on December 1, prompting major fintech platforms like OPay, Moniepoint, and Kuda to apply the charge.
Why the Hike in PoS Charges?
Sarafadeen Fasasi, National President of the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN), confirmed in an interview with TheCable that the levy led to adjustments in PoS transaction fees.
“Yes, it is because of the electronic levy. We have to transfer the cost of the charges being imposed. It started immediately after FIRS implemented the directive for the ₦50 charge,” Fasasi explained.
Clarifying the ‘Stamp Duty’ Policy
Fasasi clarified that the stamp duty itself is not a new policy but that its enforcement had been inconsistent. Initially, only bank-affiliated PoS agents were charged the ₦50 levy.
However, the policy now extends to fintech companies, which control approximately 70% of the PoS market.