The Central Bank of Nigeria, CBN has updated its guidelines for transaction switching and money transfer to ‘promote competitive environment’ while promoting’shared services and innovation’
In a circular issued by the CBN, the apex bank said:
ALL BANKS, MOBILE MONEY OPERATORS AND PAYMENTS SERVICES PROVIDERS
AMENDMENTS THE GUIDELINES ON TRANSACTION SWITCHING IN NIIGERIA
In strengthening the electronic payments system landscape in Nigeria, the Central Bank of Nigeria took cognizance of the need for a competitive environment while promoting shared services and innovation, The Bank, in ensuring that the Guidelines on Transaction Switching Services in Nigeria support the objective for payments system efficiency and financial inclusion, hereby issues this circular, to effect the following changes in the Guidelines:
1. Section 2.6.3 which stipulates that “the NCS shall not own or promote any card business or retails products and shall be run in accordance with international best practice” is hereby amended to read as follows:
“The NCS shall be run in accordance with international best practice”
To this end, the Nigeria Inter-Bank Settlement System Plc, shall communicate the Application Programing Interface (API) and other specifications of all its products to all banks and other licensed operators, including switches, mobile money operators and payments services providers. immediately,
Dipo Fa Director,\Banking and Payments System Department.
It would be recalled that the CBN had approved licenses for 11 new international money transfer operators. The apex bank is also looking at approving about 20 more operators. The move is seen as a strategy to increase the inflow of Forex into Nigeria.
Nigeria has been battling the worst drought of Forex after global crude oil price fell beyond 20 year price.
