CBN Moves to Protect Bank Customers

29 Oct 2013

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 CBN Governor, Sanusi Lamido Sanusi

•Insists cashless policy will drive financial inclusion

By Ernest Chinwo   and Nwanneka Ezemelue  

The Central Bank of Nigeria (CBN) Monday commenced an enlightenment campaign for consumers of banking services in Rivers State.

The move was part of the central bank’s drive to enhance banking and consumer relations in the country.

Addressing a press conference in Port Harcourt, the Deputy Director and Head, Consumer Education of the Consumer Protection Department (CPD), CBN, Hajia Khadijah Kasim, explained the central bank decided to embark on the exercise with the aim of protecting the consumer.

Kasim also noted the reforms embarked upon by the CBN in the last few years were aimed at giving maximum satisfaction to bank customers.
She said the CBN was concerned about building confidence and trust in consumers of banking services so as to enhance their financial well-being.

Kasim said: “The CBN is putting a lot of structures in place to ensure that consumers get maximum benefit from financial services provisioning, which will ultimately result in not only enabling people take charge of their financial well-being, but also enhance economic development. It is important, however, that the consumers are given reasons to trust the system and therefore be confident in dealing with financial services providers.

“This can be achieved through intensive consumer enlightenment activities. We must increase awareness and understanding of financial products and services, enhance efficient usage of financial resources and empower Nigerians with requisite knowledge to make informed choices and take effective actions that will enhanced their financial well-being.

“By so doing, we are able to empower them with the confidence to participate in the formal financial system. It is only when the vast majority of the Nigerian population is financially literate that they can come on board the formal financial system, thereby contributing to financial stability.”
She disclosed the CBN would be meeting with various stakeholders in Rivers State as part of the enlightenment exercise.

Meanwhile, the CBN has reiterated the cashless policy would support the country’s Vision 20:2020.
The central bank also has said the initiative, which is aimed at reducing the dominance of cash in the system would promote electronic payment.

The CBN Governor, Mallam Sanusi Lamido Sanusi, said this in a keynote address delivered at an e-business fair organised by Connect Nigeria tagged: “e-Business and the growth of your Enterprise,” held in Lagos recently.

The CBN governor was represented by the Deputy Director of CBN, Mr. Olusuyi Adaramewa.
According to Sanusi, the development of e-payment system in Nigeria would also enhance financial inclusion and bring about efficiency in the payment services.

“CBN issued a new policy guideline on cash-based transactions stipulating a cash handling charge on daily cash withdrawals or cash deposits that exceed N500, 000 for Individuals and N3, 000,000 for corporate organisations.

“The cashless policy is aimed at curbing or eliminating some of the negative consequences associated with the high usage of physical cash in the economy,” he said.
He disclosed the CBN, in collaboration with some stakeholders, had put in place other measures such as the licensing of Payments Terminal Service Providers (PTSP); and the Payment Terminal Service Aggregator (PTSA), for the smooth implementation of the policy.