Digital Shift: FAAN Adopts Cashless Payment Across Airports

Cynthia Okere, Lagos

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The Federal Airports Authority of Nigeria (FAAN) has launched a major digital transformation with the introduction of “Operation Go Cashless,” a comprehensive, contactless payment system across its airports.

The initiative is set to begin with a pilot phase at Murtala Muhammed International Airport (MMIA) in Lagos and Nnamdi Azikiwe International Airport (NAIA) in Abuja, the nation’s capital.

Effective September 29, 2025, FAAN will gradually phase out physical cash transactions at all its revenue collection points.

The move marks a significant step towards eliminating cash at high-traffic areas, including Airport Access Gates, Car Parks, FAAN VIP and Protocol Lounges, and other designated payment points, enhancing convenience and security for travellers.

Speaking at the launch in Lagos, FAAN Managing Director, Olubunmi Kuku, articulated the strategic goals of the new policy, which is being implemented in partnership with technology partner, Paystack.

“We project a 50 per cent increase in revenue collection at this pilot stage, rising to 75 per cent as we integrate more points, with the goal of tripling revenue within the first year of full implementation,” Kuku explained.

According to her, these additional funds will be strategically reinvested into further infrastructural development across the airports.

Kuku, who was represented by Henry Agbebire, the Director of Public Affairs and Consumer Protection, emphasised that the new system fundamentally reshapes the airport experience and reinforces FAAN’s commitment to accountability, transparency, and excellence.

“By significantly reducing our reliance on physical cash, we are building a system that is inherently more transparent. Every transaction will be electronic, traceable, and secure.

“This directly enhances our revenue assurance capabilities, ensuring that every Naira due to the Authority is duly collected and accounted for. The move aligns Nigerian airports with global best practices,” she stated.

For passengers, the initiative is designed to deliver faster, seamless, and more secure transactions, eliminating the delays and inconvenience associated with cash handling.

Adebola Agunbiade, the Director of Commercial and Business Development at FAAN, outlined the four key pillars of the ‘Go-Cashless’ vision:

•Significantly enhancing operational efficiency.

•Reducing congestion and delays for a smoother passenger experience.

•Improving revenue collection and accountability.

•Aligning FAAN with global best practices for seamless airport access and service delivery.

Agunbiade noted that with over 300,000 vehicular entrances recorded monthly at the Lagos and Abuja access gates, the contactless terminals deployed by Paystack will eliminate human involvement in cash collection, removing opportunities for revenue leakage.

The NFC card readers, part of a closed-loop system, ensure every tap is instantly validated, making the system reliable even in high-traffic environments.

To ensure a smooth transition, FAAN has deployed trained brand ambassadors at access gates and terminal areas to guide passengers, provide live demonstrations, and answer questions.

Fisayo Kolawole, Paystack’s Director of Commerce, assured stakeholders of the system’s security, noting that fraud prevention was a top priority.

“Paystack is a PCI DSS Level 1 service provider, the highest global standard,” Kolawole stated.

He explained that card data is encrypted and tokenised, following rigorous encryption, storage, and transmission requirements.

The system also uses machine learning models customised for Nigeria to run real-time fraud monitoring, triggering automatic checks like 3D Secure authentication with OTPs or biometrics for suspicious activities.

“Even if someone physically holds the card, they cannot use it fraudulently. Every detail is protected end-to-end,” he assured.

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