The price of Level-of-Sale (PoS) terminals in Nigeria has surged between 2023 and 2025, with will increase starting from 30% on the low finish to as a lot as 100% for high-end gadgets.
The leap, pushed by inflation, overseas change pressures, and better logistics prices, is reshaping the enterprise mannequin of Nigeria’s fast-growing company banking sector.
Whereas entry-level PoS machines that after value about N15,000–N20,000 now go for round N21,500, extra superior Android and sensible terminals have doubled in value, rising from N30,000–N40,000 to between N62,000 and N85,000.
The value will increase come whilst demand for PoS providers continues to develop, notably in underserved areas the place the machines function the first gateway to monetary providers.
The expansion in demand has seen the variety of registered PoS terminals in Nigeria leap to eight.3 million as of March 2025, in response to information from the Nigeria Inter-Bank Settlement Programs (NIBSS).
PoS terminal value modifications (2023-2025)
What fintechs are saying
Whereas some industrial banks additionally supply PoS to their prospects on demand, the PoS market in Nigeria is dominated by fintech firms, that are aggressively pushing out the gadgets as they onboard extra brokers.
An official from one of many nation’s main fintechs, who spoke on situation of anonymity, stated the rise in prices is unavoidable because of foreign money volatility and rising logistics bills.
“The greenback fee is a significant factor in all these. Presently, there isn’t a regionally produced PoS; all are imported, and the worth has to replicate the change charges.
“Even the costs you see at the moment usually are not the true reflection of the related prices as a result of a few of us are extra involved about monetary inclusion, and now we have to do every part potential, together with bearing some prices to make sure that PoS terminals stay inexpensive,” he stated.
Mr. Michael Adewale, whose firm acts as a supplier for a number of the fintechs to distribute the terminals, famous that fintech firms have adjusted their pricing fashions to stability affordability with sustainability.
“Prior to now, some used to offer out Android PoS at N20,000 warning, however that’s now not lifelike. Now most retailers both pay outright or deposit the next warning price,” he stated.
- For a lot of younger Nigerians, the rising value of PoS machines is creating boundaries to entry into one of many fastest-growing small enterprise sectors.
- The elevated prices are additionally affecting operators with a number of shops, who now battle to develop aggressively.
- Some firms are turning to leasing fashions, the place fintechs retain possession of gadgets however require greater transaction volumes from brokers.
Macroeconomic components
The value surge is carefully tied to Nigeria’s macroeconomic atmosphere. Inflation rose from 21.34% in December 2022 to a document excessive of 34.60% in November 2024, earlier than moderating to twenty.12% in August 2025.
In the meantime, the naira has depreciated sharply, hovering round N1,500/$ in 2025, in comparison with N500/$ in early 2023.
With most PoS gadgets imported and topic to international provide chain prices, native fintechs have restricted potential to maintain costs down. The shortage of native {hardware} manufacturing additionally means Nigeria is closely uncovered to FX actions.
What this implies
For aspiring PoS brokers, the price of entry into the enterprise has grow to be considerably greater, limiting alternatives for small entrepreneurs.
Whereas fintech firms comparable to OPay, PalmPay, Moniepoint, and Nomba proceed to supply versatile fashions, starting from refundable warning deposits to outright purchases, the fact is that PoS companies are now not as low-cost to start out as they had been two years in the past.
Nonetheless, analysts say demand will stay resilient, given the function of PoS in Nigeria’s cash-light economic system. For hundreds of thousands of Nigerians in underserved areas, these machines stay their closest entry level to formal monetary providers, no matter value.
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