The Nigeria Inter-Bank Settlement System (NIBSS) is introducing two new bill payment systems in an effort to promote the cashless policy of the country’s central bank and reduce the dominance of cash in the nation’s financial system.
The systems, Automated Direct Debit (ADD) and NIBSS e-BILLLspay, were unveiled at an event in Lagos.
In his speech at the event, the Executive Director of NIBSS in charge of Technology and Operations Niyi Ajao described the new products as being complementary to existing ones.
“We have two product launched today and both of them targeted at bill payment,” he said. “If you look at our market today, it is so difficult to pay a bill in this country. The Direct Debit Card (DDC) is highly in existence and when you want to pay through it, it is always a challenge.”
He added that NIBSS had decided to introduce the two products together with the aim of helping members of the public to enjoy ease of paying their bills. He said the new products will also assist service-providing companies in getting paid-for services rendered.
“NIBSS e-BILLspay is an account number based, on-line real-time credit transfer product that enables customers to make payments by leveraging the security provided by the banks,” he said.
“It enables banks to provide electronic bills payment services through Payment Channels Banking Internet Banking (iB), Mobile Banking, Kiosk among others while the ADD is a cashless or electronic payment method for settlement of financial obligations and indebtedness on a recurring basis through authorisation to debit nominated bank accounts in any bank at agreed intervals.”
Together he said the new products would help in enhancing the CBN’s cashless policy.
“If you go to many companies today where people pay bills, they go to the bank first to withdraw money. But with the two products we have launched, it will help so much that you won’t need to touch cash, you just go through your bank and if you are familiar with our internet banking, you go through the internet banking.”