Value of transactions merchants across the country recorded through point of sale (PoS) terminals increased by N4bn in July this year, according to report from Nigeria Inter –Bank Settlement System (NIBSS). In the report, PoS transactions value increased from N55 billion in June to N59bn in July recording N4bn increase while volume increased by 500,000. In June it recorded 4.5mn number of transactions and 5mn in the month of July. These volumes of transactions were recorded from over 62,000 active terminals out of 121,785 deployed PoS terminal. Reacting to this development, Mrs. Regha Onajite, Chief Executive Officer, Electronic Payment Providers Association of Nigeria (EPPAN) said that a lot of people have not really embraced the PoS but, that is not a challenge. She said that “The PoS is only a channel for electronic payment. We have so many other channels like the MPoS, mobile, ATMS, web/online, instant payments etc. so the PoS is one of many other choices”. “The CBN and the operators should focus on awareness creation for further adoption. During the early days of the Cashless initiative, E-PPAN under the aegis of the CBN and the support of the financial institutions had massive awareness campaign especially below the line campaign in addition to what the banks, the central bank and other providers were doing with above the line campaign to promote the understanding and adoption of electronic payments channels. This I will say has to be sustained”. “We are talking here about a change in culture, a shift in behaviour, it can’t be done overnight. Advocacy for change must be sustained. The message must continuously be in the face of the people. Now sensitisation and mobilisation should be supported by deliberate policies from the government. In my opinion, the Central Bank should implement the cash limitation policies across the entire nation. This should be supported by a reward and punishment system. The fact that it succeeded in six states of the federation shows that it will succeed everywhere in Nigeria,” she maintained. On how to increase transactions over the terminal, Tunde Ogungbade, Managing Director, Global Accelerex, urged for the establishment of proper management and monitoring metrics and analytics for PoS assets. “Merchants today have too many PoS assets. An exclusive contract for merchant acquiring does not mean your merchant cannot have other banking relationships. Contract terms may be short, for example one year. But this will help a merchant acquiring business properly evaluate the opportunity of the merchants’ business based on transaction forecast of volume and value over a reasonable period”. NPL in Banks hit N649.63b NON-Performing Loans (NPL) in
Banks is now N649 Billion, an increase of 78 per year-on-year from May, 2015. In his presentation at the third National Credit Reporting Conference organised by the Credit Bureau Association of Nigeria (CBAN) in Lagos, the Central Bank of Nigeria (CBN) Governor Godwin Emefiele said there is need to curtail the trend. Represented by the Branch Controller at CBN Lagos Office, James Iyari,, the Emefiele said: “All Banks are required to obtain credit report from at least two credit bureaux before granting any facility to their customers whilst quarterly portfolio checks must also be carried out to enable them determine borrowers’ current exposure to the financial system.” He explained that the apex bank had also approved the payment of one-off sign-on fees with credit bureaux for all the microfinance banks and other micro financial institutions licensed by the CBN. He also warned that bank customers who continuously issue dud cheques to their clients will have their cheque booklets withdrawn by their banks, adding that they have the right to withdraw them from customers who record three defaults. He said after the defaulting customer records the third dud cheque issuance, it would have become clearer that such a person is unfit to have cheque books and will have the booklets withdrawn – in line with the provisions of the Dishonoured (Dud) Cheques Act of 1977.

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