FAAN projects 75% rise in revenue with new cashless policy

…sets Q1 2026 as the deadline to fully go cashless

The Federal Airports Authority of Nigeria (FAAN) has projected an increase of 75 per cent in revenues generated as it integrates its new cashless policy in more points across the airports.

The authority has also set the first quarter of 2026 as the deadline to fully go cashless.

Speaking during the launch of the ‘Operations Go Cashless,’ at the Murtala Muhammed International Airport, Lagos, (MMIA) on Monday, Olubunmi Kuku, the managing director FAAN said “We project a 50 percent increase in revenue collection at this pilot stage, rising to 75 percent as we integrate more points, with the goal of tripling revenue within the first year of full implementation.”

Kuku said these additional funds will be strategically reinvested into further infrastructural development across the airports.

The MD, who was represented by Henry Agbebire, the Director, Public Affairs and Consumer Protection, explained that the agency is not just launching a new payment system, but fundamentally reshaping the experience at the airports and reinforcing commitment to accountability, transparency, and excellence.

Kuku said the initiative, which is carried out in partnership with Paystack, would birth a comprehensive, cashless and contactless payment solution that will be deployed across all airports.

She said the agency will begin the national rollout with its flagship international gateways: the Murtala Muhammed International Airport, Lagos, and the Nnamdi Azikiwe International Airport, Abuja.

Kuku said effective Monday, September 29, 2025, the collection of physical cash will be phased out gradually at all FAAN revenue points, including the airport access gates, car parks, and VIP and protocol lounges.

She assured that for passengers, the initiative would mean faster, seamless, and more secure transactions and a goodbye to delays and inconveniences associated with cash handling, adding that the move is a direct response to demand for modern, efficient, and world-class service.

“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. This is not just good for FAAN; it is a testament to our commitment to national development and fiscal responsibility.

“Furthermore, embracing these digital trends ensures that our airports remain competitive and aligned with global best practices. We are sending a clear message to the world that Nigeria is open for business, with infrastructure that meets international standards,” Kuku explained.

The MD said trained brand ambassadors have been deployed at access gates and terminal areas, and their role is to guide passengers, assist with onboarding, provide live demonstrations, and answer any questions passengers may have.

Read also: FAAN commence cashless payment system at Lagos, Abuja airports

Adebola Agunbiade, the Director, Commercial and Business Development, FAAN, said the ‘Go-Cashless’ vision is built on four key pillars, which include significantly enhancing operational efficiency; reducing congestion and delays for a smoother passenger experience; improving revenue collection and accountability; and aligning FAAN with global best practices for seamless airport access and service delivery.

“We are phasing out cash transactions at all participating FAAN revenue points. Our technology partner, Paystack, has deployed contactless payment terminals at our access gates, car parks and VIP lounges. This means that each motorist and customer will use their own contactless card for payment. Human involvement in cash collection will be eliminated, thereby removing opportunities for revenue leakage and ensuring that every Naira is accounted for.

“The technological backbone of this system is robust. Paystack has designed a closed-loop system where NFC card readers are seamlessly connected to their payment infrastructure. Each tap is instantly validated and authorised, ensuring reliability even in our high-traffic airport environments,” Agunbiade explained.

She disclosed that every month, the airport’s access gates in Lagos and Abuja recorded over three hundred thousand vehicular entrances respectively. Our VIP and Protocol lounges serve thousands yearly, and we believe we can improve the quality of service to our customers when we can receive payments conveniently and transparently.

Fisayo Kolawole, Paystack Director of Commerce, assured stakeholders of the card’s security features. “Fraud prevention was at the forefront of this partnership. Paystack is a PCI DSS Level 1 service provider, the highest global standard. Every transaction follows rigorous encryption, storage, and transmission requirements,” he said.

Kolawole explained that card data is encrypted and tokenised, making unauthorised use impossible. “Even if someone physically holds the card, they cannot use it fraudulently. Every detail is protected end-to-end using TLS and SSL protocols,” he explained. He added that Paystack never stores sensitive card data in plain text.

He said the card uses machine learning models customised for Nigeria. “We run real-time fraud monitoring across every transaction. Suspicious activities trigger automatic checks and 3D Secure authentication, requiring OTPs or biometrics. Only authorized users can transact,” he assured.