Gains for Nigeria’s e-payment system

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A major landmark achievement has been made in the nation’s e-payment system, following the completion of the Nigeria Central Switch (NCS) project by the Nigeria Inter-Bank Settlement System (NIBSS), a body set up in 1993 by the Bankers Committee. With this development, all payment cards issued by banks in Nigeria will be accepted on all payment devices deployed in the country.

Addressing newsmen in Lagos, the Chief Executive Officer of NIBSS, Mr. Paul Lawal, said that the project, which started in 2004, would impact positively on the nation’s economy, stressing that card holders would now enjoy “tremendous freedom to use their cards in a safe and secure manner in any place in the country.”

Lawal disclosed that, four banks and the major scheme operators in the country–Interswitch, e-transact, Valuecard and Chams, were already connected to the project, stating that a globally renowned company in the area of electronic payment system technologies, ACI Worldwide Incorporated,was the technical partner.

He listed NCS benefits to include direct and immediate gains to the economy by providing great savings in foreign exchange, as banks and other players in the payment industry could rely on NCS while concentrating on their respective core functions.

The NIBSS boss further stated that the central switch system would ensure interoperability, and attain ubiquitous card acceptance in the industry, stating that, adequate security had been put in place to ward off fraudsters and hawkers.

The Bankers Committee had, in May 2006, mandated NIBSS to develop and operate a nationally accepted and internationally recognised national switch for the country.

NIBSS, which was set up in 1993 by the Bankers Committee, began operations in 1994. Its core mandate includes providing a framework for elevating the level of efficiency in funds transfer services generally and to initiate and develop an integrated nationwide network for electronic or paperless funds and settlement of transactions.