The Central Bank of Nigeria (CBN) has introduced a new naira payment system to improve payment turnaround times for Ministries, Departments, and Agencies (MDAs) by 70 percent.
This new technology, which was introduced simultaneously with DocFlow, a digital document management system, is expected to enhance customer service and expedite financial operations in the public sector.
“The MDAs Naira Payment Solution is considered a game-changer in the CBN’s financial transaction management. It is projected to cause a 70 percent improvement in payment turnaround time and further improves Nigeria’s financial ecosystem,” a statement released by the bank on Friday reads.
CBN’s ‘Digital First’ initiatives
As part of his commitment to modernising the Bank’s operations, CBN Governor Olayemi Cardoso launched the digital transformation project “Digital First” in December 2023, which the CBN said is an extension of the launch.
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The Governor underlined during the unveiling ceremony at the Bank’s headquarters the substantial influence these digital solutions will have on the financial sector’s sustainability, operational effectiveness, and service delivery.
According to the statement, Cardoso “pledged his commitment to all initiatives of the Bank which aims to enhance service delivery, improve operational efficiency, and foster sustainability through technological advancements and expressed delight that the two solutions were fully developed in-house, thus saving a lot of costs.”
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CBN’s dedication to operational excellence
Deputy Governor of Operations Emem Usoro, who spoke at the event, emphasised that the launch demonstrated the CBN’s dedication to operational excellence and cultivating an innovative culture that prioritises stakeholder satisfaction.
She also mentioned how the new payment methods might lessen fraud, inconsistencies, and government mistakes.
According to Jide-Samuel, the project lead and acting director of the CBN’s information technology department, the cash payment system, which has already undergone successful testing at a few MDAs, is in line with the Bank’s overarching goal of guaranteeing excellence in banking operations.
These programs represent a positive step in enhancing the general operation of Nigeria’s financial system and are a part of the CBN’s continuous attempts to use technology to improve the effectiveness and transparency of government financial operations.