Per the Nigeria Interbank Settlement System, NIBSS, the latest analysis that focused on Nigeria’s current economic standard, revealed an outrageous fiscal decline with transactions done with PoS machines.
The Point of Sale, PoS, transaction for August was valued at N75.6 million which is equivalent to a 7.4% loss in contrast to the previous month-on-month PoS recorded transactions.
Prior to August, the transactions PoS machines recorded were quite impressive — in July PoS transactions were valued at N81.6 million while it has reportedly maintained a steady increase based on MoM statistics.
For context, the NIBSS also backdates their research for the first half of 2021 and they discovered a huge 9% difference — N554.7bn was recorded for PoS transactions in six months.
However, the PoS terminal also gained more registered machines up to 3.9% during the first half of 2021. Regardless of the impressive number of PoS transactions and registration, the month of August could not keep up to the steadiness of recording an impressive score.
NIBSS analysis proved that the Nigerian economy maintained an unfriendly status with the rate of inflation continues to rise while it also affects the price of consumer goods.
The price of consumer goods in Nigeria is more than the economic standard of living. Although the current outrageous rate of inflation has reportedly been resourceful whereby several Nigerians tend to spend at a minimal level.
PoS transactions continue to decline because users have discovered how to dupe the machine as well as the agents controlling the PoS. Several users have obliged in using the PoS as a means of withdrawal — this way PoS fraud have bolstered the decline in revenue, per the President of the Association of Mobile Money and Bank Agent in Nigeria, AMMBAN, Olojo Victor’s comment on PoS fraud, and the decline in its transactions.
In sum, the Nigerian e-payment platform has reportedly suffered a significant loss due to the unbearable economic standard of the country. The post-pandemic effect also influenced the harsh economy Nigeria is currently experiencing. The e-payment transaction August registered was valued at 397.9 million which is lower than July’s outcome.
Per Olojo’s comment that proved several users have switched from accessing the PoS seeking alternative means to avoid fraudulent transactions. The Quick Response code for payment seems to be resourceful due to its security system that channels payment with ease — the QR code also influenced the decline in PoS transactions.