The Kenya Bankers Association (KBA) has attributed the non-compliance by some banks in migrating ATM cards to the EMV standard to customers failing to return their ATM cards to be fitted with the new technology and stringent requirements for certification by EMV Co in the issuance of cards.
Capital FM reports though 70 per cent of cards are EMV compliant, the earlier deadline for migration of March 31 has been extended to the end of May.
Habil Olaka, chief executive officer (CEO) of KBA, said banks have not so far complied, with the association warming customers will be liable for any debit and credit cards with magnetic strips used in fraud perpetration.
Olaka said banks have been given until the end of May to ensure debit cards have chip and PIN technology so as to minimise fraud.
“Notwithstanding the challenges, KBA shall reinforce its commitment to enhance card security and customer protection and has introduced a liability shift requirement whereby the cost associated with fraud involving non-EMV compliant cards will be borne by the issuing bank starting May 31, 2014,” said Olaka.
The CEO however lauded those banks that have complied, with 8.4 million cards so far migrated to EMV technology.
“I am pleased to note that KBA members successfully met the September 2013 deadline of certifying their ATMs and the December 2013 deadline for certifying point of sale terminals, the final stage and arguably the most complex for banks has been the EMV certification of card management systems and the replacement of magnetic strip debit and credit cards,” he said.
Currently, Kenya is the fourth country in Africa to implement EMV compliance after South Africa, Nigeria and Rwanda.
