In an effort to standardise payments operation, and sustain the financial system stability, the Central Bank of Nigeria (CBN) has issued new directives on contactless payment.
The fresh directives from the CBN came in a circular signed by the CBN’s Director of Payments System Management Department, Musal Simon.
Read Also: What To Know About New CBN Governor, Adebisi Shonubi
The CBN says the guidelines will ensure that participants in contactless payments implement appropriate risk management measures, while keeping to best relevant standards.
This move is in furtherance of the CBN’s efforts to standardise operations in the payments system.
also, it will encourage the deployment of innovative products to sustain the financial system stability.
Contactless payment is a service which involves the consummation of financial transactions without physical contact between the payer and the acquiring devices.
Musal explained that contactless payment has been identified as an innovative payment option for the safe and efficient conduct of payments.
All banks, financial institutions and payment service providers must now ensure strict compliance with the guidelines.
Considering the risks associated with the operations of contactless payments, the CBN has therefore issued another circular with reference number, PSM/DIR/PUB/CIR/001/048.
Read Also: What You Need To Know About CBN’s New Directives To DMBs
The limitations placed on contactless payment accounts/wallets were pegged at ₦15,000 for each transaction and ₦50,000 for daily cumulative limit.
CBN also stated that any contactless payments transactions that exceeds the set limits, would require appropriate verification and authorisation.
