Nigeria’s Digital Payment Industry Achieves Major Milestone
Nigeria’s digital payment industry has reached a significant milestone with the successful completion of the first live transaction on the National Payment Stack (NPS). This new digital infrastructure aims to unify and modernize the country’s payment systems, marking a pivotal step in the nation’s digital transformation journey.
The achievement was announced by the Nigeria Inter-Bank Settlement System (NIBSS) through a statement. The milestone transaction took place between PalmPay and Wema Bank at exactly 11:56 a.m. on Friday, November 7, 2025. This event officially launched the live operations of the NPS, which is designed as a next-generation payment infrastructure to unify, secure, and modernize digital transactions across all financial institutions.
According to NIBSS, the transaction was completed in milliseconds with instant settlement, showcasing the platform’s robustness, scalability, and transformative potential. The National Payment Stack is being described as a new engine driving Nigeria’s payment innovation. It is built on the ISO 20022 international standard for financial messaging, which enhances interoperability, data richness, and regulatory compliance.
The NPS is expected to replace the current NIBSS Instant Payment (NIP) platform, offering superior speed, security, and inclusivity. Highlighting the importance of this development, Mr. Premier Oiwoh, managing director/chief executive officer of NIBSS, stated that the achievement represents “a key milestone in our collective journey to simplify payments, foster inclusion, and position Nigeria at the forefront of digital transformation across Africa.”
Key Pillars of the National Payment Stack
The NPS was developed as a next-generation infrastructure anchored on five critical pillars:
- Speed: Ensuring fast and efficient transaction processing.
- Interoperability: Enabling seamless interactions between different financial institutions.
- Security: Implementing multi-layer authentication and digital signatures to protect data.
- Cross-border Capability: Facilitating international transactions with ease.
- Innovation: Encouraging continuous improvement and technological advancement.
Under the new system, payments can be processed instantly and reliably across banks, fintechs, and other licensed financial institutions. The platform ensures the highest standards of data protection through its advanced security measures.
NIBSS noted that the NPS is central to the Central Bank of Nigeria’s directive mandating the adoption of ISO 20022 for all electronic financial transactions. This move aims to align Nigeria’s payment systems with global standards.
Recognition and Future Steps
NIBSS extended recognition to PalmPay and Wema Bank for pioneering the first transaction on the new platform, describing them as “trailblazers” in the implementation of the system. The organization emphasized that as integration continues across the ecosystem, it encourages all banks, fintechs, and other payment service providers to complete their onboarding to the NPS.
This initiative is expected to deliver faster, safer, and more inclusive digital payment experiences for Nigerians. The NPS is seen as a crucial step in transforming Nigeria’s financial landscape and positioning the country as a leader in digital innovation across Africa.