Chika Nwosu, the managing director of PalmPay, one of the digital payment platforms, has disclosed that more Nigerians are embracing digital payment since the last cashless policy implementation of the Central Bank of Nigeria (CBN).
According to him, the government is doing a lot in the area of digital economy and that whatever is happening with regulation currently is for the good of the FinTech ecosystem in Nigeria. “Doing business in Nigeria for us is not easy but Nigerians are embracing our App and digital payment.”
Nwosu stated this during a recent Business Roundtable on Channels TV, where he underscored the government’s drive to make fintech services in Nigeria stronger through a recent regulatory framework.
“When we started, there was an issue of trust. However, I can tell you now that the last one year after the cashless policy has seen the trust start to grow,” he said.
Speaking on the recent directive from the regulator for fintech companies to stop onboarding of new customers, Nwosu disclosed that there was a standing agreement between industry players and the national security adviser (NSA) on some grey areas.
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The CBN recently directed fintech firms to stop onboarding of new customers amid ongoing efforts to strengthen Know Your Customer (KYC) compliance in crypto and traditional investing.
According to him, if the fintech companies are able to complete their part of the agreement, they can resume onboarding of new customers. “If PalmPay completes their own today, we will start onboarding today,” Nwosu said.
On the conversation around failed transfers and the challenges, he said that every institution has their own in-house business strategy, infrastructure; even though every transaction passed through the Nigerian Inter-Bank Settlement System (NIBSS) platform.
“Every institution has its business strategy and infrastructure, for us and the majority of fintechs; we have a structure that makes transactions seamless,” Nwosu said.
