Nigeria Inter-Bank Settlement System Plc (NIBSS) today announced the launch of the NQR payment solution; an innovative payment platform implemented on behalf of all financial service providers. The New Quick Response code solution offers a robust platform that delivers instant value for P2B and P2P transactions by simply scanning to pay. It is a solution that will unify the available closed QR Code schemes in the country for consistent user experience and accelerated digital adoption.
This Payment Solution designed to be “low cost” for merchants would see shoppers scan a QR code generated by a seller to pay for an item. Each code will have unique details containing the information relating to the transaction and would link with a customer’s Banking App, already enabled on their smartphone.
INTRODUCTION
On 13
th January 2021, the Central Bank of Nigeria
(CBN) released two regulations: the Framework for Regulatory
Sandbox Operations ( Sandbox Framework ) and the
Framework for Quick Response (QR) Code Payments in Nigeria
( QR Code Framework ).
The CBN stated that the frameworks are aimed at strengthening
the payment systems space and the development of other disruptive
technologies relating to financial services in Nigeria.
We will briefly consider the frameworks and their potential
impact for the financial technology (fintech) industry in
Nigeria.
The Sandbox Framework
Owing to the growing interest in fintech), the CBN deemed it
necessary to set up a regulatory sandbox, a closed testing
1.0 Introduction
In view of increasing consumer appetite for payment solutions and emerging disruptive technology in the financial services space, the Central Bank of Nigeria (CBN) has deemed it pertinent to ensure new and more flexible ways of engaging with the industry. One of the options being the use of a Regulatory Sandbox which is a formal process for firms to conduct live tests of new, innovative products, services, delivery channels, or business models in a controlled environment, with regulatory oversight, subject to appropriate conditions and safeguards. This would enable the Bank stay abreast of innovations while promoting a safe, reliable and efficient Payments System to foster innovation without compromising on the delivery of its mandate.