33.5 C
New York
Tuesday, July 16, 2024

Nigerian Mobile Money and Bank Agents Association Holds Ground on New Service Charges

Must read

ABUJA, Nigeria – The Association of Mobile Money and Bank Agents in Nigeria, AMMBAN, has affirmed that it will proceed with the implementation of its new service charges framework slated to begin on Monday, July 17, 2023, despite the Federal Competition and Consumer Protection Commission condemning the move and pledging to investigate.

Elegbede Segun, the National Publicity Secretary of AMMBAN, communicated this in a statement made known to journalists on Saturday, July 15, 2023.

He stressed that there was no alternative to the implementation of the revised prices for Point of Sale, PoS, services.

AMMBAN’s Lagos Chapter had previously announced a new increment price list for PoS charges per transaction on June 30, 2023.

Segun explained that since 2018, PoS operators had kept their charges steady, despite nationwide increases in the prices of goods and services.

He highlighted the challenges PoS operators face, warning that without an increment in service charges, many would inevitably go out of business.

Rising costs of fuel, PoS paper roll, and rents are contributing to the struggle faced by the industry.

“Between 2018 and now, we have never changed our service charges,” said Segun. “With the cost of fuel, PoS paper roll, and rents, you will understand where we are coming from. It has gotten to the point that our profit has been eroded to the extent that our members are closing business.”

The precarious situation has led to a wave of business closures, with Segun reporting daily calls from members who are exiting the industry.

He emphasized the potential for more businesses to collapse without an increase in service charges.

“Without increment, more businesses will collapse,” he stated. “I boldly say that there is no support the CBN is giving to business today, so we have to make way to bear the cost and remain in business. It is not because we just want to add to the problem of Nigerians, but, no, it is just what it is to stay in business.”

The AMMBAN’s stance, which seems set to further strain its relationship with the Commission, underscores the deep-seated economic challenges faced by businesses in Nigeria’s fast-growing mobile money and banking services sector.

More articles

- Advertisement -The Fast Track to Earning Income as a Publisher
- Advertisement -The Fast Track to Earning Income as a Publisher
- Advertisement -Top 20 Blogs Lifestyle

Latest article