FAAN Phases Out Cash Transactions for Digital Payments

The Federal Airports Authority of Nigeria (FAAN) has officially launched its new contactless payment system, branded the “Go Cashless” policy, with the goal of tripling its revenue while improving efficiency and transparency across the nation’s airports.

The unveiling took place on Monday at the Murtala Muhammed International Airport, Lagos, where FAAN’s Managing Director, Mrs Olubunmi Kuku, represented by the Director of Public Affairs and Consumer Protection, Henry Agbebiire, declared that the cashless system places Nigeria’s airports in line with global best practices.

According to Agbebiire, the initiative signals a new era for FAAN in driving transparency, efficiency, and accountability. He noted that the policy is designed to reshape airport operations and passenger experience, adding that the phased rollout will begin in Lagos and Abuja airports before extending nationwide.

“Effective September 29, 2025, the collection of physical cash will be gradually phased out at all FAAN revenue points, including airport access gates, car parks, VIP, and protocol lounges. This ensures faster, seamless, and more secure transactions,” he said.

He explained that going cashless would eliminate the delays and risks associated with cash handling while strengthening FAAN’s revenue assurance framework. “Every transaction will now be electronic, traceable, and secure. This is not just about revenue growth; it is about demonstrating Nigeria’s readiness for global business by aligning with international standards,” he added.

Kuku stressed that the new system would triple FAAN’s revenue, calling it a long-overdue step toward modernisation. She also highlighted that the initiative falls under FAAN’s six strategic business goals, reinforcing the agency’s commitment to fiscal responsibility and sustainable development.

Also speaking at the event, Director of Commercial and Business Development, Ms Joy Adebola Agunbiade, revealed that FAAN plans to completely eliminate cash payments by the end of the first quarter of 2026. She explained that the phased introduction allows both users and stakeholders ample time to adapt.

Agunbiade added that the solution complements existing systems like E-tags and Point of Sale terminals. The new cards, which can be loaded with as little as ₦1,000, have no expiration date and allow users to own multiple cards.

“For FAAN, we anticipate a 50 percent revenue increase during the pilot phase, rising to 75 percent as more points are integrated, and ultimately tripling revenue within the first year of full implementation. These funds will be reinvested into airport infrastructure nationwide,” she explained.

She further pointed out that Lagos and Abuja access gates alone record over 300,000 monthly vehicular entries, stressing that digitising these payments will block leakages and safeguard revenue.

On security, Fisayo Kolawole, Head of Commercial and Public Sector at Paystack, the fintech firm partnering with FAAN, assured users of robust safety measures. He said the system complies with global standards as a Level One security provider, with all transactions encrypted end-to-end and protected by multiple authentication layers.

The Go Cashless policy is expected not only to boost FAAN’s finances but also to enhance passenger convenience, improve business partnerships, and showcase Nigeria’s aviation sector as competitive and globally aligned.