Nigeria’s Interbank Settlement System (NIBSS) has formally announced plans to scrap transfer fees on its NIBSS Instant Payment (NIP) platform by 2026, shifting toward a subscription model that removes the per-transaction burden on users.
Premier Oiwoh, NIBSS’s Managing Director, revealed this initiative during his keynote address at the Globus Bank Fintech Summit 2025 in Lagos, under the theme “From Cashless to Smart Economies.” He said that eliminating fees is essential to encourage adoption of digital payments, arguing that many Nigerians still favor physical cash due to cost concerns.
Under the proposed plan, the current per-transaction fee for instant transfers will be replaced with a subscription-based model, making digital transfers essentially free at the point of use. This model is expected to be rolled out gradually, with full effect by 2026.
The move is seen as a bold push to deepen financial inclusion and reduce friction in the payments ecosystem. Oiwoh noted that Nigeria’s real competition isn’t between banks or fintechs—but “cash on the street.” Still, key challenges lie ahead: ensuring sustainable funding of the subscription model, fortifying cybersecurity, and coordinating with banks and fintechs to manage the transition.
If implemented effectively, this policy could reduce the cost burden on everyday Nigerians, drive broader use of digital payments, boost innovation in the fintech sector, and weaken the dominance of unbanked cash transactions.
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