Regulatory Alerts2019-09-18 | PSM/DIR/GEN/CIR/02/015Review of Process for Merchants Collections on Electronic Transactions
The Central Bank of Nigeria is reviewing the process for merchant settlements to promote financial inclusion and improve the efficiency of the country's payment system. The new policies include unbundling merchant settlement amounts and reducing the Merchant Service Charge. These directives will come into effect on September 17, 2019.
PAYMENTS SYSTEM MANAGEMENT DEPARTMENT CENTRAL BANK OF NIGERIA Central Business District P.M.B. 0187, Garki, Abuja.
+234 (0) 946238346 September 17, 2019 Ref: PSM/DIR/CON/CWO/02/015 ALL BANKS PROCESSORS/SWITCHES REVIEW OF PROCESS FOR MERCHANTS COLLECTIONS ON ELECTRONIC TRANSACTIONS The Central Bank of Nigeria (CBN), hereby reviews the process for merchant settlement to further deepen financial inclusion and enhance the efficiency of the Nigerian payments system.
Accordingly, the CBN has approved new policies as follows: a. Banks shall unbundle merchant settlement amounts and charge applicable taxes and duties on individual transactions as stipulated by regulations.
b. Merchant Service Charge (MSC) has been reviewed downward from 0.75% capped at N1,200 to 0.50% capped at N1,000.
This directive takes effect from September 17, 2019.
yments System Management Department