Edo Gov’t to CBN: Work with Stakeholders to Address E-Banking Challenges

The Edo State Government has urged the Central Bank of Nigeria (CBN) to work closely with the relevant stakeholders to address the challenges individuals and businesses encounter daily with electronic banking (e-banking) in Nigeria.

The Managing Director, Edo State Investment Promotion Office (ESIPO) – Ease of Doing Business Secretariat, Mr. Kelvin Uwaibi made the call in his office in Benin City while responding to the recent CBN statement affirming the March 3, 2023 decision of the Supreme Court that the old 200, 500, and 1000 Naira notes remain legal tender.

Enumerating some of the challenges businesses are facing with electronic transactions, Uwaibi noted that declined transactions are not promptly resolved, thereby creating difficulties for businesses as they are unable to complete sales due to delayed credit and debit alerts. He highlighted this as one of the reasons some businesses refuse electronic funds transfer as a means of payment for goods and services.

The Secretary to the Edo State Ease of Doing Business Council insisted that the apex bank must now work hard to improve and simplify how businesses accept payments, make payments, and manage their operations, adding that the services of the OPay Digital Services Limited, Moniepoint, Nomba, Dotpay, PalmPay which use POS now seem to be more effective than the conventional banks since the introduction of the naira redesign policy weeks ago.

According to him, “We are concerned about businesses. We want them to operate seamlessly. The challenges they face also affect the economy. The feedback we are getting from businesses right now is that businesses are particularly experiencing issues with failed transactions which are either not resolved or delayed hence making traders refuse electronic funds transfer from customers, and this is affecting sales.

“There is an urgent need to resolve this challenge, more importantly in the rural areas. We suggest that the CBN trains and deploys POS agents to rural areas. This can also serve as a stream of income for young people in rural communities ”

“People also ask why the services of Monienpoint, Nomba, Opay, Dotpay, Palmpay, and the rest of them are now more effective than the conventional banks. You send money to a customer and he or she does not get it and you are debited. Or a situation where funds are sent to a trader and he or she says has not received the funds. This is already creating confusion in business transactions. These are some of the issues that need to be addressed”

 “For the 500 naira note and 1000 naira note, we urge all residents to go with the Supreme Court ruling. They remain legal tender till December 31 2023. Let us not now create difficulty for ourselves when the matter is settled at the apex court. It will amount to choosing difficulty over ease, and this is not good for us as a people. The Edo State Government is in line with the Supreme Court ruling. We believe in the rule of law.” Uwaibi said.

Recall that the CBN recently issued a statement directing deposit money banks to comply with the Supreme Court ruling on the issue. “Accordingly, the CBN met with the banker’s committee and has directed that the old N200, N500, and N1, 000 banknotes remain legal tender alongside the redesigned banknotes till December 31, 2023.” the statement read.