The Central Bank of Nigeria has announced that that Bank CEO who breach Central Bank of Nigeria’s (CBNs) e-payment reporting rules, including using unapproved third-party end-to-end payment solution are to face sanctions.
Chief executives of banks who flout the apex bank’s guidelines will get a warning letter with the institution fined N2million, the regulator said in the approved guideline on end-to-end electronic payment of salaries, pensions, suppliers and taxes it released The CBN insists on approving all third-party payment solution being deployed by banks.
The approved guideline, said the banks were expected to promote the adoption of end-to-end electronic payments by all stakeholders covered by this regulation. The approved guidelines also mandated bank customers that receive duplicate or excess payments into their accounts but fail to refund to the bank will have their Bank Verification Number (BVN) placed on the watchlist.
In the CBN regulation on electronic payments and collections for public and private sector, it said that in the event of duplicated/excess payment not noticed but withdrawn by the beneficiary, the beneficiary shall make funds available for refund to the payer.
CBN makes DisCos’ remittance condition for N600b disbursement
Meanwhile, The Central Bank of Nigeria (CBN) has warned would-be beneficiaries of the N600billion power sector intervention fund that the disbursement of the fund will be based on the accountability system of distribution companies (DisCos) which is driven by their performance through revenue remittance.
The apex bank, according to the Nigerian Electricity Regulatory Commission (NERC), has also pledged to support the Commission in enforcing actions against any defaulting party. This was contained in NERC’s sixth meeting with Nigerian Electricity Supply Industry (NESI) stakeholders in Lagos.
“The CBN cautioned that the disbursement of the NGN600billion intervention fund is premised on an accountability framework which hinges heavily on the performance of DisCos and should be reflected in improved collection efficiency and revenue remittance.
The CBN also reaffirmed its support to the Commission that enforcement action be taken against defaulting Operators,” it read.
Banks’ Credit to Economy Rises to N21trn
Banks’ credit to the domestic economy increased slightly by 0.6 per cent to N21.074 trillion at the end of June 2019, compared with the level at the end of the preceding month, data provided by the Central Bank of Nigeria (CBN) has revealed. The central bank disclosed this in its monthly economic report for July 2019, obtained recently.
The development was attributed to the rise in claims on the federal government. Also, the report showed that total assets and liabilities of the banks amounted to N39.623 trillion at the end of June 2019, showing a 0.2 per cent increase, compared with the level at the end of the preceding month. Funds were sourced, mainly, from foreign liabilities, mobilisation of time, savings and foreign currency deposits and reduction in claims on central bank.
The funds were used mainly, to acquire foreign assets, shore up capital accounts and pay off demand deposits. According to the report, total specified liquid assets of banks stood at N13.880 trillion at the end of June 2019, representing 59.7 per cent of their total current liabilities.