@DrOlufunmilayo I’ve read your thread. As a matter of fact, your assertions are correct with respect to free interbank transfers in the UK. However, the 12 UK Banks who funded the Faster Payment System contributed close to £150 -£200 Million 4 the first 7 years of operations which began in 2008 
@DrOlufunmilayo Vocalink, the company responsible for the shared services infrastructure is owned by the UK banks. Bringing it home, the institution responsible for the instant payment platform is NIBSS, owned by all Banks in 🇳🇬 with a CBN deputy governor as Chairman, BOD
@DrOlufunmilayo Transfer charges have reduced over time dependent on the transaction value to a uniform price of N50.00 per transaction including N2.50 VAT.
With the proposed implementation of cashless Nigeria, these charges are not arbitrary. Processing Cash is not cheap.
With the proposed implementation of cashless Nigeria, these charges are not arbitrary. Processing Cash is not cheap.
@DrOlufunmilayo The @cenbank had to abruptly stop the rollout of Cashless Nigeria nationwide because of the punitive cash handling charges on amounts above the threshold limits for corporates (N3 Million) and individuals (N500,000) seemed suicidal.
@DrOlufunmilayo @cenbank Deposit Money Banks in Nigeria despite the delayed rollout are faced with Cash Dumping.
Cash Dumping is the act of paying cash into a bank account and transferring same on the same day via the NIBBS instant payment platform to another bank.
Cash Dumping is the act of paying cash into a bank account and transferring same on the same day via the NIBBS instant payment platform to another bank.
@DrOlufunmilayo @cenbank I’ve taken the liberty to explain how the Nigerian Financial System works. @cenbank as the regulatory body enforced the reduction of interbank transfer charges. It used to cost N1,000 to transfer sums in excess of N10 Million but it now costs N52.50 for any amount to any bank.
@DrOlufunmilayo @cenbank The Faster Payment System of the UK Financial System took off in 2008. There are plans to charge fees to users in the future as a new revenue stream for business to business transactions.
@DrOlufunmilayo @cenbank It is pertinent to mention at this point that the biggest economy in the world doesn’t have an instant payment system like we enjoy in Nigeria as well as the UK.
The US Banking System is bigger with more banks & credit unions making it difficult to provide such services.
The US Banking System is bigger with more banks & credit unions making it difficult to provide such services.
@DrOlufunmilayo @cenbank @cenbank as earlier mentioned reduced NIBBS instant payment charges to the barest minimum irrespective of amount in May 2017. Please find the guide to charges by banks as approved by the @cenbank
This ends the thread.
This ends the thread.
