Economy
FG Prohibits Cash Transactions at MDAs, Adopts Electronic Payments
By Adedapo Adesanya
The federal government has banned the use of physical cash for revenue payments and directed all Ministries, Departments, and Agencies (MDAs) to deploy Point of Sale (PoS) terminals within 45 days, as part of a sweeping shift toward full electronic revenue collection.
The directive was contained in four separate treasury circulars issued by the Office of the Accountant-General of the Federation (OAGF) late last month.
In the documents, the Accountant-General, Mr Shamseldeen Ogunjimi, ordered that all payments to the federal government must now be made electronically and routed through platforms approved by the treasury.
According to the first circular, dated November 24, 2025, the government expressed concern over the persistent acceptance of physical cash at MDA revenue points, noting that it contradicts existing policies on e-payment and the Treasury Single Account (TSA). It warned that continued cash collection undermines the integrity of federal electronic payment systems.
The OAGF therefore prohibited the receipt of cash “in Naira or any other currency” for government revenues and mandated MDAs to immediately sensitise staff and the public. Revenue points are to display notices such as “NO PHYSICAL CASH RECEIPT” and “NO CASH PAYMENT.”
It added that MDAs still collecting cash must install functional POS machines or other approved electronic tools within 45 days, with accounting officers held accountable for breaches.
A second circular, dated November 25, 2025, addressed the Treasury’s concern over widespread unauthorised deductions carried out through customised MDA payment platforms. It noted that some MDAs were using front-end applications linked to Payment Solution Service Providers (PSSPs) that deducted charges before remitting balances to the TSA. The OAGF said this has resulted in significant revenue leakages.
The circular ordered MDAs to stop all direct deductions at source and remit revenues in full to designated TSA or Sub-TSA accounts. Any service-related fees must be paid directly by the Treasury rather than through automated deductions.
It also directed that all MDA portals and PSSPs be regularised with the OAGF by December 31, 2025, warning that non-compliance could lead to suspension from GIFMIS and TSA access.
A third circular, issued on November 26, 2025, announced the introduction of a unified Federal Treasury e-Receipt (FTe-R), which will serve as the only valid proof of payment for federal transactions from January 1, 2026. The receipt will be issued via the Revenue Optimisation platform and delivered electronically through channels selected by each MDA.
The fourth circular, dated November 27, 2025, outlined guidelines for the rollout of the new Revenue Optimisation (RevOP) platform, which the government has adopted as the central system for automating billing, reconciliation, and monitoring of MDA accounts.
The platform will integrate with TSA, GIFMIS, the Central Bank of Nigeria, NIBSS, FIRS, and collecting banks, ensuring real-time visibility over government revenues.
MDAs are required to nominate three officers as RevOP focal persons within seven working days, integrate their existing financial systems, and ensure that only CBN-licensed and NITDA-recommended PSSPs approved by the OAGF are used. All PSSPs currently engaged by MDAs must connect to RevOP for immediate harmonisation of federal collections. The Treasury also directed MDAs to submit details of all local and foreign currency accounts within 60 days.
These reforms represent some of the most significant changes to federal revenue administration since the introduction of the TSA. Earlier in March 2025, The PUNCH reported the launch of the Treasury Management & Revenue Assurance System, aimed at streamlining federal revenue and payment processes. The system’s first phase covers naira-denominated transactions, while the second phase—scheduled for June 1, 2025—will expand to foreign currency transactions and integration with MDA enterprise resource platforms.
The Treasury maintained that the new measures are designed to strengthen transparency, curb leakages, and modernise Nigeria’s public financial management framework.
By Aduragbemi Omiyale
Shareholders of Transcorp Plc should expect their phones to buzz with bank alerts very soon, as the board has proposed the payment of an interim dividend of 40 Kobo per share for the first half of the 2026 fiscal year.
The company announced the cash reward payment to investors in the unaudited financial statements submitted to the Nigerian Exchange (NGX) Limited.
The interim dividend would be paid on Tuesday, July 28, 2026, subject to appropriate withholding tax deduction and to shareholders whose names appear in the Register of Members as of the close of business on Thursday, July 23, 2026.
Analysis of the results showed that the conglomerate delivered a strong revenue and profit performance, with improved margins and ratios notwithstanding challenges in the operating environment.
The performance was driven by the organisation’s disciplined cost management and operational efficiency, underpinned by a resilient business strategy and solid corporate governance ethos.
In the period under review, the power sector was impacted by gas supply constraints, as well as grid-related challenges, which saw a reduction in the overall power supply in the country.
Similarly, the hospitality business continues to innovate and leverage its assets to deliver superior service excellence.
These challenges impacted Transcorp’s earnings, which contracted to N241.5 billion in the first half of this year from N279.0 billion in the corresponding period of 2025, while profit after tax moderated to N54.4 billion from N65.2 billion in H1 2025.
“These results reflect the quality of the underlying business and resilience of the group’s earnings. Despite a lower revenue base arising from sector-wide power infrastructure constraints, we expanded our profit-before-tax margin to 31.4 per cent, from 30.7 per cent in the prior period, a direct result of disciplined cost optimisation and operational efficiency across our businesses.
“Our financial position remains strong, with a robust equity base which grew to N367.8 billion by half-year 2026. Our strength is hinged on the diversified earnings capability from key sectors, including the hospitality business, which grew its profit after tax by 21 per cent. This financial foundation gives us the confidence to protect and grow long-term value for our shareholders as operating conditions normalise,” the Chief Financial Officer of Transcorp, Mr Festus Izevbizua, stated.
Also, the chief executive of the firm, Mr Owen Omogiafo, said, “Despite disruptions to power transmission infrastructure and a challenging macroeconomic environment, Transcorp delivered a strong profit and an even stronger balance sheet, a reflection of our operational discipline and efficiency.
“At Transcorp Group, our operations are driven by our purpose to improve lives and transform Africa. We continue to create impact in the sectors that matter most to Nigeria’s future, and that same conviction continues to guide us through every phase of the cycle.
“Despite the constrained grid infrastructure seen in the first half of the year, we forged ahead, engaging with strategic partners to deliver much-needed power to Nigerians.
“Through our 5,000-capacity, multi-purpose event facility, Transcorp Centre, and our flagship 1,000-key Transcorp Hilton Abuja, we have continued to make the Federal Capital Territory the preferred location for business and leisure.
“Our strategy is clear, our balance sheet is robust, and our confidence in the value we are creating for our shareholders remains firm.”
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange lost its gaining streak on Wednesday, July 22, after it fell by 0.24 per cent despite the presence of five price gainers.
Yesterday, the market capitalisation went down by N6.32 billion to N2.631 trillion from the previous session’s N2.637 trillion, and the NASD Security Index (NSI) depreciated by 10.49 points to 4,383.48 points from 4,393.97 points.
The poor outcome was caused by the losses recorded by two securities, led by FrieslandCampina Wamco Nigeria Plc, which lost N5.60 to settle at N147.55 per unit compared with Tuesday’s closing price of N153.15 per unit, and Central Securities Clearing System (CSCS) Plc, which tumbled by N1.01 to N98.32 per share from N99.33 per share.
On the flip side, Nipco Plc added N38.00 to sell at N422.00 per unit versus N384.00 per share, Afriland Properties Plc gained 75 Kobo to close at N15.76 per share versus N15.01 per share, Geo-Fluids Plc improved by 23 Kobo to N2.53 per unit from N2.30 per unit, Industrial and General Insurance (IGI) Plc appreciated by 2 Kobo to 52 Kobo per share from 50 Kobo per share, and Food Concepts Plc increased by 1 Kobo to N2.49 per unit from N2.48 per unit.
At midweek, the volume of securities surged by 3,438.9 per cent to 11.4 million units from 322,147 units, the value of securities rose by 122.2 per cent to N43.1 million from N19.4 million, and the number of deals jumped by 81.5 per cent to 49 deals from 27 deals.
Great Nigeria Insurance (GNI) Plc remained the most active stock on a year-to-date basis, with 3.4 billion units valued at N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units worth N6.5 billion, and CSCS Plc with 75.4 million units exchanged for N5.4 billion.
GNI Plc was also the most traded stock by volume on a year-to-date basis, with 3.4 billion units sold for N8.4 billion, followed by Infracredit Plc with 2.3 billion units transacted for N6.5 billion, and Resourcery Plc with 1.1 billion units traded for N415.7 million.
By Dipo Olowookere
The domestic stock exchange slipped into the negative territory on Wednesday by 0.50 per cent after the consumer goods sector closed lower by 5.04 per cent despite the gains recorded by the other key sectors.
The insurance index shed 1.64 per cent, the banking space gained 1.51 per cent, and the industrial goods segment expanded by 0.81 per cent, while the energy counter closed flat.
At the close of business, the market capitalisation declined by N800 billion to N158.319 trillion from N159.119 trillion, and the All-Share Index (ASI) shrank by 1,241.19 points to 245,418.37 points from 246,659.56 points.
The duo of BUA Foods and Nestle Nigeria crumbled by 10.00 per cent each to N845.10 and N2,812.50, respectively. Mecure lost 9.94 per cent to trade at N69.30, International Energy Insurance slumped by 9.84 per cent to N4.40, and UAC Nigeria dipped by 7.75 per cent to N184.45.
On the flip side, the trio of Unilever Nigeria, Trans-Nationwide Express, and Cadbury Nigeria improved by 10.00 per cent each to quote at N137.50, N3.08, and N137.50, respectively. Thomas Wyatt moved up by 9.95 per cent to 4.09, and UPDC REIT jumped by 9.40 per cent to N12.80.
A total of 37 stocks ended on the advancers’ chart and 28 stocks finished on the laggards’ log, indicating a positive market breadth index and bullish investor sentiment.
Market participants transacted 1.3 billion shares worth N158.3 billion in 47,458 deals at midweek, in contrast to the 932.5 million shares valued at N49.3 billion traded in 50,059 deals in the preceding day. This implied that the number of deals declined by 5.20 per cent, while the trading volume and value increased by 39.41 per cent and 221.10 per cent, respectively.
First Holdco led the activity chart, with a turnover of 736.0 million units valued at N80.8 billion, Access Holdings exchanged 79.6 million units for N2.1 billion, GTCO transacted 34.1 million units worth N4.4 billion, Mutual Benefits sold 24.4 million units valued at N85.3 million, and Zenith Bank traded 21.5 million units for N2.6 billion.
