June 30, 2023/CBN
The Central Bank of Nigeria, in furtherance of its efforts to standardize operations in the payments system, while encouraging the deployment of innovative products and sustaining the financial system stability, developed the Guidelines for Contactless Payments in Nigeria.
Contactless payment, which involves the consummation of financial transactions without physical contact between the payer and the acquiring devices, has been identified as an innovative payment option for safe and efficient conduct of low-value and large-volume payments. The Guidelines was conceived to ensure that participants in contactless payments implement appropriate risk management processes and measures while keeping to best relevant standards.
All banks, Other Financial Institutions and Payments Service Providers are required to ensure strict compliance with the Guidelines.
Also, following the issuance of the Guidelines on Contactless Payments in Nigeria and in cognisance of the risks associated with contactless payments, the Bank hereby defines transaction limits above which verification and authorisation are required.
Transaction limits for contactless payments through accounts/wallets in Nigeria shall be as follows:
Higher-value contactless payments are transactions that exceed the above Stated limits and shall require appropriate verification and authorisation. For
these transactions, existing KYC requirements and limits on the electronic payment channels shall apply.
Limits above this stipulated daily cumulative limit shall be conducted using contact-based technology.
Read PDF Copy: Transaction Limits on Contactless Payments
Read PDF Copy: Guidelines for Contactless Payments in Nigeria
