Nigeria’s banking industry is witnessing a major shift from traditional branch banking to electronic platforms, with 229 physical bank branches shutting down in just one year as customers increasingly rely on Point of Sale (POS) terminals for everyday transactions. This trend is highlighted in the Central Bank of Nigeria’s (CBN) 2024 Financial Sector Statistical Bulletin, which shows that the number of Deposit Money Bank branches across the country fell from 5,373 in 2023 to 5,144 in 2024. Despite this contraction in physical presence, the total number of licensed banks rose from 33 to 35 during the same period, underscoring the rapid migration from brick-and-mortar operations to digital banking. The bulletin covers branches and cash centres of commercial, merchant, and non-interest banks across all 36 states and the Federal Capital Territory (FCT). Electronic payments, particularly through POS channels, have become the go-to option for many Nigerians. POS transaction volumes jumped from 9.85 billion in 2023 to 13.08 billion in 2024, representing a 33% year-on-year increase. Even more striking was the surge in the value of POS transactions, which more than doubled from N110.35 trillion to N223.27 trillion, an increase of N112.93 trillion or 102%

SUN