The Central Bank of Nigeria’s ambition to transform its payment ecosystem through biometric-driven and “invisible” transactions may redefine how millions of citizens pay for goods and services, but the bank has warned that the country’s preparedness on data privacy, identity management and consumer protection will determine whether the initiative succeeds.
This was highlighted in the Nigeria Payments System Vision 2028, a strategic roadmap designed to build a secure, innovative and inclusive payments ecosystem. Recall that the bank recently launched the Payments System Vision 2028 to build on Nigeria’s progress in digital payments and provide a roadmap for developing a payment ecosystem that is secure, resilient, inclusive, and globally competitive.
The Governor of the Central Bank of Nigeria, Mr Olayemi Cardoso, at the event, said an efficient payment system remains one of the fastest ways to lift millions of Nigerians out of poverty, as the apex bank unveiled the Nigeria Payments System Vision 2028. According to him, “One of the fastest ways to take a large number of people out of poverty is through an efficient payments system.
It’s through an efficient payment system. So let us not look at it lightly.” An excerpt of the newly released document analysed by our correspondent on Wednesday revealed that this will be for certain transactions such as transport fares, utility bills, and subscription services.
The report noted that biometric authentication could also be deployed at agent locations, Point-of-Sale terminals, micro-Automated Teller Machine stands and conventional Automated Teller Machine stands, where fingerprints or other biometric identifiers may replace or complement PINs.
It stated that such arrangements could prove particularly beneficial for individuals who face challenges with literacy or remembering card credentials. Under the sub-theme, “Enabling Seamless Biometric-Driven and Invisible Payments,” the document proposes a future where Nigerians can authorise transactions using fingerprints, facial recognition, iris scans or other unique biological traits, reducing reliance on passwords, PINs and one-time passcodes.
The framework envisions a payment landscape where commuters board buses and trains with a simple tap, utility bills are settled automatically with prior approval, and customers complete purchases without queuing at checkout counters. According to the document, “Biometric-driven payments are payment experiences where a person confirms a transaction using a unique trait such as a fingerprint, face, iris, or palm/vein pattern instead of (or in addition to) traditional methods like entering a PIN or one-time code.
The aim is to make payments faster, simpler, and more secure, while keeping individuals in control of consent, privacy, and cost. “Biometric-driven payments can power a range of experiences: a) Everyday taps on phones, cards, and wearables at transit gates and retail checkouts.
b) “Invisible” or background payments where a user has pre-approved a safe pattern (e.g., transit, subscriptions, utility bills) and still receives clear alerts and receipts. c) Assisted transactions at agents, POS/micro ATMs, and ATMs, where a biometric can replace or reinforce a PIN; especially helpful where literacy or card/PIN management is a barrier.
d) Government-to-Person disbursements, fee payments and targeted subsidies, including offline options in low-connectivity areas.” It explained that two major models would drive adoption. The first is on-device verification, where biometric information remains stored on a customer’s phone, card or wearable device and is verified locally.