Naira Depreciation Drives 30-100% Price Hike in Nigerian PoS Terminals
The Nigerian naira has witnessed a sharp depreciation, currently hovering around N1,500 to the dollar in 2025, a significant drop from N500/$ in early 2023. This currency decline, coupled with surging inflation and rising logistics costs, has led to a substantial increase in the price of Point-of-Sale (PoS) terminals.
Inflation in Nigeria has soared from 21.34% in December 2022 to a record high of 34.60% in November 2024. Consequently, the cost of PoS terminals has skyrocketed by 30% to 100% between 2023 and 2025. Entry-level PoS machines now retail at around N21,500, up from N15,000-N20,000. Meanwhile, advanced Android and smart PoS terminals have doubled in price, ranging from N62,000 to N85,000, up from N30,000-N40,000.
Despite the price hikes, the number of registered PoS terminals in Nigeria has grown to 8.3 million as of March 2025. However, the increased costs have limited opportunities for small entrepreneurs to start PoS businesses. Some companies are now turning to leasing models for PoS devices to mitigate the financial burden. Leading fintech company Synergistic Financial Networks, known as 'Mosambee', offers its Mosambee mPOS terminal, enabling merchants to accept card and digital wallet payments. The company, along with others in the sector, is adjusting pricing models to balance affordability with sustainability.
The naira's depreciation and inflation surge have led to a significant increase in PoS terminal prices, posing challenges for small entrepreneurs. While the number of PoS terminals has grown, the higher costs may hinder further expansion. Fintech companies are adapting their pricing strategies to navigate this economic climate.
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