Nigeria’s financial landscape has been transformed with the launch of the National Payment Stack (NPS). This groundbreaking system marked a milestone in November 2025, achieving the first live transaction between PalmPay and Wema Bank. This instant transfer, facilitated by NIBSS, demonstrates the power of the NPS to revolutionize payments and reshape Nigeria’s digital economy. The National Payment Stack is built on the ISO 20022 global messaging standard, ensuring compatibility with international best practices and aligning Nigerian financial institutions with global standards. This strategic shift will significantly impact several aspects of the country’s payment ecosystem, creating a more inclusive, efficient, and secure system. 5 key benefits emerge from this new infrastructure: 1) Increased financial inclusion for all Nigerians. The NPS connects millions of unbanked citizens through its multi-rail architecture, enabling them to enjoy seamless transactions on par with traditional bank customers. 2) Improved government revenue collection and tracking. Data-rich transaction records enable precise tax disbursement and efficient revenue management, as witnessed by the new tax laws in effect January 2026. 3) Open Banking for increased fintech innovation. The NPS supports Open Banking, a system that simplifies financial service integration, fostering competition and enabling innovative services to flourish. 4) Secure and efficient cross-border payments. The NPS offers fast, secure real-time payment options with built-in fraud detection mechanisms, supporting Nigerians in the diaspora with faster, more cost-effective remittances. 5) Enhanced online security through digital identity verification. Integrated digital identity systems using BVN ensures every participant is uniquely identified for safe and verified transactions, significantly reducing fraudulent activities and promoting trust within the system.