The Central Bank of Nigeria (CBN) yesterday said it is working closely with the Nigeria Deposit Insurance Corporation (NDIC) to design an insurance so as to protect customers in the event of failure of any of the mobile payment operators.

Director, Banking and Payment Department, CBN, Mr. Oladipupo Fatokun, said this while presenting a speech titled: ‘Cash-less Policy as a Vehicle to Achieve Financial Inclusion’, at the ongoing 17th seminar for journalists in Akure, Ondo State.

Fatokun, whose speech was presented by an Assistant Director, at the CBN, Mr. Samson Agboola, explained that the move is part of efforts to grow the mobile money subscription base in the country.

“As you know, the pay mobile money subscribers store in their phones is not owned by the mobile payment operators, so we want to insure it so that if anything happens to any of the firms offering the service, nothing will happen to their customers’ money,” he said.
In his presentation, the CBN Governor, Mallam Sanusi Lamido Sanusi, said the financial inclusion initiative of the apex bank is expected to bring about 50 million more Nigerians into the banking system.

Sanusi who spoke on: “Cash-less Policy in Nigeria: Issues, Challenges and Prospects,” said that as part of the efforts to fulfil its mandate, the apex bank had instituted a drastic review of the Nigerian payment system so as to bring it at par with what is obtainable in global economies.

Sanusi whose speech was also read by a Board member of the CBN, Prof. Sam Olofin, added: “The cashless policy will help achieve the CBN’s objective of expanding, deepening and modernising the payment system in Nigeria and also galvanise the CBN in ensuring that Nigeria ranks among the top 20 economies of the world in line with the nation’s vision 2020 aspirations.

“The CBN cashless policy was designed to break the traditional barriers hindering financial inclusion for millions of Nigerians and bring low-cost, secure and convenient financial services to urban, semi-urban and rural areas across the country especially through the mobile payment services.”

According to him, an efficient and modern payment system is positively correlated with economic development as it serves as a key factor to achieve economic growth.

“From the regulatory angle, this policy will also create an environment for more effective monetary policy implementation, create a more stable pricing system and curb the menace of inflation which is deterrent to the growth and development of any economy,” he said.

Source: ThisDay/Festus Akanbi and Obinna Chima