fbpx
Tuesday, October 4, 2022
Home Business CBN Releases Supervisory Framework For Payment Service Banks

CBN Releases Supervisory Framework For Payment Service Banks

- Advertisement -
- Advertisement -
- Advertisement -
- Advertisement -

The Central of Nigeria (CBN) has released the Guidelines for the Licensing and Regulation of Payment Service Banks (PSBs) in Nigeria.

Information obtained in the apex bank’s website indicated that the guidelines was first issued in 2018 and revised in 2020.

It stated that the PSBs were expected to leverage on technology to provide services that would be easily accessed by the unbanked population and those in hard-to reach areas of the country.

“This framework hereby provides a set of regulations that are targeted at streamlining operations of PSBs, ensuring transparency in their operations as well as ensuring adequate customer protection.

See also  8 Men, 2 Women In Police Net For Hacking People’s Accounts In Kano

“The framework focuses on corporate governance, risks management of the PSBs and safety of funds to the consumers of the PSBs’ products.

“This framework also aims to ensure that sound risk management practices are embedded in the operations of the PSBs,’’ it said.https://scudnewsng.com

The apex bank further explained that PSBs were required to comply with relevant extant regulations and CBN’s prudential guidelines and circulars which were issued periodically.

See also  COVID-19: Nigeria’s Manufacturing Sector Contracts Further

“They shall use the words “Payment Service Bank” in their names to differentiate them from other banks.

“However, the name of a PSB shall not include any word that links it to its parent company or promoter,’’ it said.

See also  NNPC Earns $378.42m From Crude Oil & Gas Export in June — Report

CBN listed other guidelines as follows – “They shall operate mostly in the rural areas and unbanked locations targeting financially excluded persons with not less than 25 per cent financial service touch points in such rural areas as defined by the CBN from time to time.

“Enter into direct partnership with card scheme operators. Such cards shall not be eligible for foreign currency transactions.

“Deploy ATMs in some of these areas; deploy Point of Sale devices; and be at liberty to operate through banking.

See also  FIFA Ranking: Nigeria Moves Up by Two Spots, Now World 29th

“Roll out agent networks with the prior approval of the CBN; use other channels including electronic platforms to reach-out to its customers; establish coordinating centres in clusters of outlets to superintend and control activities of the various financial service touch points and banking agents.’’ 

© 2021, Scud News. All rights reserved.

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular

Residents Displaced, Schools Shut As Flood Ravages Delta Community

Hundreds of residents of Okoloba in Bomadi, Delta State have been rendered homeless following a massive flood which ravaged the community.

Skeleton Of Missing Man Found On His Bed After 4 Years

Skeleton of missing man found on his bed after four years by labourers clearing bushes in community in Oyo State, police commence probe.

ASUU: FG Moves To End Strike, Meets Vice Chancellors, Pro Chancellors

ASUU: FG moves to end strike, holds crucial meeting with vice chancellors and pro chancellors of federal universities in Abuja on Tuesday.

NDDC: Don’t Set Niger Delta On Fire, South-South Elders Warn Malami

Don't set Niger Delta on fire over NDDC Board, South-South elders warn Malami, accuse him of trying to mislead President Muhammadu Buhari.
See also  Nigeria Rallies Global Community To Combat Corruption

© 2020 – 2021, Scud News. All rights reserved.

%d bloggers like this: