National telecommunications operator, Globacom, has said it would utilise its advanced nationwide network to ensure the success of government’s new payment initiative, mCash.
The low value payment solution was launched recently by the Nigerian Inter-Bank Settlement System (NIBSS) in partnership with banks and telecommunication companies. Leveraging the networks of telecom operators, the new solution is targeted at extending e-Payment to low income earners as well as Micro, Small and Medium Enterprises (MSMEs) who transact their businesses mainly in cash.
Speaking at the launch of the scheme, Mr. Esaie Diei, Head, Mobile Money Financial Business of Globacom, congratulated NIBSS and other Stakeholders for the unique initiative which he said was a promising solution that would help realize the Cashless policy and financial inclusion Strategy of the Central Bank of Nigeria (CBN).
According to Mr. Diei, Globacom had always supported CBN’s initiatives, especially its efforts to reach the unbanked and the masses generally through mobile phone technology. He stated, “This is why we invested in a dynamic and secured USSD Gateway for Financial services to which mCash is connected. Glo Subscribers are, therefore, assured of a very efficient and robust system on the network”.
Mr. Diei disclosed that Globacom was proud to be part of the mCash initiative as it would make payment for goods and services relatively easy and convenient. He pledged that the company would provide the requisite assistance for the payment scheme to succeed.
Presenting the mCash solution to the public, the Chief Executive Officer of NIBSS, Mr Adebisi Shonubi, said it was intended to extend digital payment to the large segment of the population who deal with cash on a daily basis. According to him, mCash is the most convenient and cost effective solution to address low value payment nationwide because it leverages the networks of telecom operators which already have nationwide coverage.
He added that unlike the current payment system where settlement takes place 24 hours later, mCash gives instant credit to the sellers/Merchant. The solution is accessible via a Unified USSD Short Code, he explained.
CBN’s Director, Banking and Payment System Department, who was represented by the Principal Manager, Banking and Payment Systems Department of the bank, Mr. Joe Obogo, congratulated NIBSS for addressing a long pending challenge of making digital payment available for everyone. He said that bringing the banks and the telecom companies to collaborate on the scheme would ensure best service for the payment industry.