In furtherance of the objective and commitment to promote a strong and credible payment system in Nigeria, the Central Bank of Nigeria (CBN) on 9 December 2020 published the Circular on New License Categorisations for the Nigerian Payment Systems (Payments System NLC).
We shall consider in the ensuing paragraphs, key highlights of the Payments System NLC while setting out the implications on the Nigerian payments system.
KEY PROVISIONS OF THE PAYMENT SYSTEM NLC
Categories of Payment System Activities
Further to the Payments System NLC; the payments licensing framework has been streamlined into four broad categories of permissible activities namely;
•Switching and Processing;
•Mobile Money Operations (MMOs);
•Payment Solution Services (PSSs); and
We shall consider some of the specific activities of each of the licensing categories highlighted above.