Sabon Gari’s Cashless Shift: How Transfers & POS Are Changing Small-Business Life
By MAHMOOD MALIK MUSA (M. M. M.) IBRAHIM
Digital Payments Reshape Local Commerce
THE growing use of digital payment platforms is changing the way small businesses operate in Kano’s Sabon Gari area.
Roadside vendors, market women, food sellers and neighbourhood shops are increasingly accepting bank transfers and other digital payments as customers move away from cash transactions.
The change is particularly visible in the spread of Point of Sale (POS) outlets across the commercial district.
A visit to major streets in Sabon Gari showed that several streets now have multiple POS operators providing cash withdrawals, deposits and transfer services.
Small Traders Adapt to Customers’ Preferences
For many petty traders, accepting transfers has become a business necessity rather than a choice.
Traders said customers increasingly arrive without cash and prefer to pay electronically.
Mrs. Zainab Ibrahim, a provisions seller along France Road, said accepting transfers had helped increase her sales.
She explained that refusing digital payments could mean losing customers who did not have cash available.
According to her, customers transfer the money and she confirms the payment before releasing their purchases.
A fruit seller, Ahmed Musa, said he initially depended entirely on cash.
He later began accepting transfers after customers repeatedly requested the option.
Although he was initially concerned about fraud, he said learning how to verify payment alerts properly had made him more comfortable with digital transactions.
POS Businesses Create New Livelihoods
The cashless shift has also created opportunities for people operating POS businesses.
Joseph John, a POS operator around Church Road by Ibo Road, said digital payment services had become an important source of income for young people.
POS operators provide services such as cash withdrawals, deposits, transfers and bill payments without requiring customers to visit a bank branch.
The growing demand for such services has encouraged more operators to establish businesses close to residential and commercial areas.
The result is a decentralised network of basic financial services within the neighbourhood.
Demand Rises When Banks & ATMs Struggle
POS operators said demand is not constant.
Mary Haruna, another operator, said transactions often increase during weekends, salary periods and festive seasons.
She attributed the increase partly to long queues at ATMs and occasional shortages of cash.
For residents, nearby POS outlets offer an alternative when accessing cash through conventional banking channels becomes difficult.
The operators also earn commissions from transactions, creating an income stream while serving as a link between formal financial institutions and customers in the local economy.
Cashless Payments Save Time
Customers are also embracing the convenience of digital payments.
Chinedu Okafor, a Sabon Gari resident, said he frequently uses transfers to pay for food and household items.
He said digital payments eliminated the need to search for cash or exact change.
For small retailers, that convenience can translate into faster transactions and fewer missed sales.
It also reduces the amount of physical cash that traders need to keep on their premises.
Risks Accompany the Transition
The shift is not without challenges.
Some traders complained about unstable network services, failed transactions and delays in transaction reversals.
These problems can create uncertainty for both customers and merchants.
A trader who receives no immediate confirmation may hesitate to release goods, while a customer whose account has been debited during a failed transaction may have to wait for a reversal.
Such challenges highlight the need for reliable digital infrastructure as cashless commerce expands.
A Changing Informal Economy
The developments in Sabon Gari illustrate how digital finance is penetrating parts of Nigeria’s informal economy that traditionally relied almost entirely on physical cash.
Small traders are adapting their businesses to changing consumer behaviour.
POS operators are creating new income opportunities.
Customers are gaining more ways to pay and access basic financial services.
The transformation also demonstrates that the move towards a cashless economy is not confined to large companies and formal businesses.
It is increasingly taking place at street level, where small traders and consumers are gradually incorporating digital payments into everyday commerce.
