…as CBN sets new rules
The Central Bank of Nigeria has raised the limit for ‘Highly Secured Online Funds Transfer from N100 million to N250 million for companies and from N10 million to N25 million for individuals.
This is according to a circular by the Central Bank of Nigeria, signed by Musa I. Jimoh, Director, Payments System Management Department.
This revision would take effect on the operations of the NIBSS Instant Payments System and other Electronic Payment Options with Similar Features in Nigeria.
According to the apex bank, the NIBSS Instant Payments System and other Electronic Payment Options must “accept indemnity from customers for ‘Highly Secured Online FundsTransfer above N1m for individual and N10m for corporate, subject to a maximum of N25m (Individual) and N250m (Corporate);”
The CBN directed Payments System operators to “provide customers with the option of electronic or paper indemnity based on the customer’s preference and Implement electronic indemnity with stricter controls requiring biometric verification of identity”
Between January and April of this year, the Nigeria Inter-Bank Settlement Systems (NIBSS) reported that transactions totalling N114.8 trillion were completed electronically in Nigeria. The transactions were completed via the NIBSS Instant Payment technology (NIP).
According to NIBSS data, the NIP volume increased by 4% to 1.4 billion in the last four months, up from around 999 million in the same period last year.
The NIP platform had N26.6 billion transactions in January, according to NIBSS data. This represents a 43.7% increase over the N18.5 trillion recorded in the same month the previous year.
In the same vein, in February, the electronic platform was used to close deals worth $27.2 billion. This represents a 48.6% increase over February 2021, when N18.3 trillion was recorded.
Also in April of this year, the total value of transactions on the NIP platform was N29.2 trillion. This is an increase of 41.6% over the N20.6 trillion recorded in April 2021.
