Regulatory Alerts2014-03-27 | BPS/DIR/GEN/CIR/01/002Implementation of E-Referencing Operations in Nigeria
Title: e-Reference Portal for Intra-Bank Payments Purpose: To establish an electronic reference clearing platform for Nigerian financial institutions to exchange payment references more efficiently and securely. Key Features & Benefits: 1. User-friendly online portal for uploading, approving, and transmitting references. 2. Real-time status tracking of submitted items. 3. Reduced transaction time with a T+3 clearing cycle. 4. Enhanced security through user authentication and secure transmission protocols. 5. Improved auditing capabilities with unique identification numbers assigned to each successfully transmitted item. 6. Detailed and summarized reports for MIS purposes. 7. Escalation mechanism for unresponsive receiving banks. Operational Workflow: 1. Bank Admin User creates Operator and Authorizer users within their respective institution. 2. The Operator uploads a scanned reference document, completes online details, and submits it for approval. 3. Upon submission, the item is marked as "awaiting approval." 4. The Authorizer logs into the portal to review and either approve or reject items. 5. Approved items are transmitted to the receiving bank. Rejected items are returned to the Operator with a valid reason for rejection. 6. Incoming items can be verified, confirmed, and marked as "Approved" or "Not Approved" by both Operators and Authorizers. 7. Detailed and summarized reports can be generated based on specified parameters such as "From," "To," "dates," and "Status." 8. The entire clearing process follows a T+3 cycle, with escalation mechanisms in place for this level of technological innovation in the Nigerian banking industry.