Nigeria expands digital payment infrastructure via NIBSS

Nigeria is expanding its digital payment infrastructure through the deployment of the National Payment Stack (NPS) by the Nigeria Inter-Bank Settlement System (NIBSS). Built using jPOS technology, the new platform is designed to support instant bank transfers, QR code payments, phone number-based transactions, and bulk payments.

Despite the high volume of transactions through the national instant payment system—exceeding ₦1 quadrillion in 2024—contactless payments currently account for only approximately 0.1% of all transactions in the country. Industry experts identify several barriers to adoption, including a lack of NFC-enabled devices among consumers and a shortage of point-of-sale terminals capable of reading contactless cards.

To address these challenges, new partnerships are being formed to increase visibility and usage. For instance, a deal with the fast-food chain Chicken Republic, which operates over 350 outlets, is viewed as a potential catalyst to break the cycle of low merchant investment and low consumer demand for tap-to-pay technology.