GTCO’s 200,000 PoS Terminals Show Banks Are No Longer Chasing Customers; They’re Chasing Merchants
For years, Nigeria's banks focused primarily on retail banking and corporate clients while fintech companies quietly built extensive merchant networks through PoS terminals. These merchants became more than payment collection points—they became long-term customers who generated transaction fees, deposits, lending opportunities, and valuable business data.
GTCO is now embracing that same strategy. Through HabariPay, the bank plans to deploy 200,000 PoS terminals nationwide while targeting ₦1 trillion in monthly payment volume through its merchant network. The move comes after HabariPay processed ₦80.9 trillion in payments during 2025, highlighting how important digital payments have become to the group's growth strategy.
Rather than competing only through traditional banking products, GTCO is investing in the infrastructure that powers everyday business transactions, signalling that the future of banking may increasingly be decided at the merchant level.
The New Battleground Is the Small Business Counter
The real competition is no longer about opening more bank branches or attracting more savings accounts. It is about becoming the payment provider that small businesses rely on every day.
Every merchant using a PoS terminal creates multiple business opportunities. Beyond processing payments, banks gain access to transaction data that can support lending decisions, cash-flow analysis, inventory financing, and other financial products. This is exactly the strategy that helped fintech companies such as Moniepoint and OPay grow rapidly across Nigeria.
GTCO's decision to eliminate processing fees for qualifying merchants further reinforces this approach. By reducing the cost of accepting digital payments, the bank hopes to attract more businesses into its ecosystem and build long-term customer relationships rather than focusing on short-term transaction revenue.
Payment Infrastructure Is Becoming Banking’s Biggest Competitive Advantage
Digital payments have evolved into essential infrastructure for modern commerce. Businesses increasingly expect instant settlements, reliable payment systems, fraud protection, and seamless integration with accounting and business management tools.
This means banks are no longer competing solely on interest rates or customer service. They are competing on the quality of the infrastructure they provide to businesses. Institutions that control payment networks gain stronger customer relationships while creating opportunities to cross-sell lending, payroll, insurance, and other financial services.
GTCO's expansion demonstrates that banks are increasingly adopting the infrastructure-first approach pioneered by fintechs. The goal is not simply to process transactions but to become indispensable partners in how businesses operate every day.
Forward-Looking Implications for Nigeria’s Digital Payments Industry
GTCO's merchant expansion reflects a broader transformation taking place across Nigeria's financial sector. Traditional banks are no longer watching fintechs reshape payments from the sidelines—they are competing directly using similar strategies backed by stronger balance sheets and established banking ecosystems.
If successful, the rollout of 200,000 PoS terminals could accelerate digital payment adoption among SMEs, improve financial inclusion, and intensify competition across Nigeria's merchant services market. Businesses may ultimately benefit from lower fees, faster settlements, and better access to financial products as providers compete for market share.
The bigger shift, however, is strategic. The next winners in African finance may not be those with the largest customer base, but those that own the infrastructure businesses depend on every day. As banking and fintech continue to converge, merchant ecosystems are becoming the foundation of the continent's next phase of financial innovation.
