Nigeria: Hullabaloo, dissatisfaction trails implementation of National Central Switch
Ben Uzor Jr
The Central Bank of Nigeria’s (CBN) recently issued directive that all banks connect to the National Central Switch (NCS) has drawn the indignation of electronic payment providers who have expressed their reservations about their narrow understanding of the model employed by the Nigerian Interbank Settlement System (NIBSS) in implementing the switch. Furthermore, they maintain that the resultant frustration and confusion about the NCS is a culmination of NIBSS’s laxity in the area of interfacing with stakeholders on the implementation process as well as its inability to provide the needed answers to the numerous questions and worries of service providers concerning the operations of the central switch. According to them, NIBSS has not addressed their concerns about implementation, hence their lack of enthusiasm to partake fully in the switch because of limited understanding of the model adopted. They however further expound that there is immense value in possessing a central switch but it must work hand in glove with the model that recognises the existence of other switches. The issue of mandating banks to also connect to the central switch, they claim negates this model making the NCS a competitor to existing switches rather than a regulator. In sharp response, NIBSS has dismissed these accusations claiming that they have been open and fair in their mandate of setting-up the National Central Switch (NCS). The NCS was created to address one of the major problems often encountered by banks’ customers in the use of payment card products like debit and credit cards. The project was embarked upon to assist bank customers who on many occasions experience the frustration of not being able to use their card on ATM or PoS irrespective of the bank that issued the card or the bank that owns the ATM or PoS terminal. Accordingly, bank customers have had in their possession many cards belonging to different banks or card schemes (switches). Conversely, to further add value to end users seeking financial services through cost reduction and improved service delivery, there was a need to carve out reciprocal interoperability and unhindered interconnectivity between all stakeholders in the industry. To address this problem, the Bankers Committee, in 2005, initiated the establishment of the NCS to be operated by NIBSS, and which would connect all the banks and card schemes (switches), hence, making it possible for banks customers to use their cards on any payment device irrespective of the owner. Paul Lawal managing director, NIBSS stated: “The primary objective of the Nigeria Central Switch is interoperability. That is any payment device will accept any card from any switch or any bank. The other objective is to be the gateway for foreign electronic payment transactions. “We are saying less frustration for the Nigerian banking public because they don't have to care where they have to buy, they will just carry their card and it is accepted anywhere. That is the value proposition”, he said. The operating guidelines require all existing switches to connect to the NCS but Lawal stated that though the central switch has been running since 2007, electronic payment providers (switches) did not connect to it until recently when they were mandated by the CBN to do so. He said even though they have now connected, they are yet to allow transactions within the system to pass through the central switch. In all, what remains imperative is the need for stakeholders, including NIBSS, the Bankers Committee and existing switches to meet and deliberate on the modalities for implementing the NCS. Speaking at the 2nd Techno-Interactive Series of the E-Payment Providers Association of Nigeria (E-PPAN) held in Lagos recently, Francis Ebuechi, chief executive officer, Chams Switch stated: “If you tell the switches to talk to the NCS and the banks stayed away from that kind of discussions, I don’t think that the NCS will listen to the switches. I think the Bankers Committee, which set up the NIBSS and then the NCS, should actually sit the NCS down and say this is what we want you to do. And if you can also coordinate all the stakeholders to be there and explain to everyone there what the NCS should do, it would be better.” In response to questions asked by other participants at the conference, Akeem Lawal, chief technology officer, Interswitch said: “There is value, and this is speaking as Interswitch, there is value in having an NCS in the model that recognises there are existing players in the market who already create significant value and, there fore, what they add should be additional value that either increases business either for existing players, for banks, for new entrant or that reduces cost. “In the discussions we had with the central switch over the last year, a lot of the comments and questions that was discussed and answered were focused on creating that value. Now, the implementation thereafter may not follow directly under the original guidelines and principles and that is where I support the other speakers who said earlier that there might be a need for industry stakeholders to go back to the drawing board and say fine we recognised that there is value in this, however, that value can only be achieved if certain things are implemented in certain ways. “There is no clarity in terms of rules and regulation. And therein lies one of the key stumbling blocks that needs to be overcome before we can see the benefits that we expect to see from NCS”, Lawal added. Kyari Bukar, chief executive officer, ValuCard who delivered a presentation at the conference entitled: “Achieving Interoperability & Interconnectivity: What Options?” noted that interoperability and interconnectivity is not only desirable but achievable; further explaining that achieving the objectives rests on three critical pillars. “There must be a common and appropriate understanding by all industry stakeholders of the concept of interoperability. Also, there must be a common and appropriate understanding of the roles and functions of payment card industry players. Most importantly, the strict adherence to professionalism and the distinct roles and responsibilities of the different players built on the concept of separation of roles”, Bukar posited. Commenting on dangers in non-interoperability, Adesola Adeyiga, head, strategy and new business, e-Tranzact explained that this would translate to inadequate value to the banks, end users and industry players. It would also lead to ineffective market penetration as well as stiffen innovation in the e-payment industry, he further added.
Wednesday, November 18, 2009
Tuesday, November 17, 2009
Glo is a friendly network, says Governor Chime
Glo is a friendly network, says Governor Chime
. . . as new Gloworld opens in Enugu
Ben Uzor Jr
Sullivan Chime, executive governor of Enugu State has described the Second National Carrier, (SNC) Globacom as ‘a friendly network’. The governor made this assertion at the opening ceremony of the second Gloworld shop in Enugu, the state capital. Chime who spoke last week through his commissioner for youth and sports, Matthew Idu revealed that Globacom has done well in the area of service delivery, further adding that the opening of the new Gloworld in Enugu is another evidence of the company’s commitment to friendly interface with its customers. He thanked the company for its support to the state, clearly stating that Enugu state has been, and will continue to be a great supporter of Globacom. Commenting on the rationale behind setting-up the new facility, Shade Olusope, managing director of Gloworld said that the new shop was built to bring services as close as possible to Nigerians. “We do not want people to go far to solve their communication problems. We want everybody to have Gloworld in his or her domain”, she explained. Gloworld, the customer service/retail arm of Globacom, currently has 45 outlets spread across all geographical zones of Nigeria. According to Olusope, Gloworld has the largest telecoms customer relations network in Nigeria and is still growing. “We have a strategic plan to increase our customer service contact centres to 50 by this year”, she added. In response to radio and press announcements, excited subscribers in Enugu thronged to No. 23, Okpara Road, the location of the new Gloworld shop to experience the promised one-on-one, hi-tech customer care services of Globacom as soon as the shop threw its doors open to customers. With the opening of the new Gloworld, customer can obtain quick solutions to all issues ranging from SIM replacement to making enquiries and recovering over-scratched recharge cards. Other services offered by Gloworld include refilling of airtime, unblocking, phone and laptop configuration and payment of bills. The Gloworld also offers subscribers the additional benefits of purchasing all Glo products in a more comfortable and classy environment. Other dignitaries at the ceremony, who were also the first to be served at the new Gloworld, included the Enugu State Commissioner for Information and Culture, Chuks Ugwoke and the chief executive officer of Alhambra Resources, Chime Orji.
. . . as new Gloworld opens in Enugu
Ben Uzor Jr
Sullivan Chime, executive governor of Enugu State has described the Second National Carrier, (SNC) Globacom as ‘a friendly network’. The governor made this assertion at the opening ceremony of the second Gloworld shop in Enugu, the state capital. Chime who spoke last week through his commissioner for youth and sports, Matthew Idu revealed that Globacom has done well in the area of service delivery, further adding that the opening of the new Gloworld in Enugu is another evidence of the company’s commitment to friendly interface with its customers. He thanked the company for its support to the state, clearly stating that Enugu state has been, and will continue to be a great supporter of Globacom. Commenting on the rationale behind setting-up the new facility, Shade Olusope, managing director of Gloworld said that the new shop was built to bring services as close as possible to Nigerians. “We do not want people to go far to solve their communication problems. We want everybody to have Gloworld in his or her domain”, she explained. Gloworld, the customer service/retail arm of Globacom, currently has 45 outlets spread across all geographical zones of Nigeria. According to Olusope, Gloworld has the largest telecoms customer relations network in Nigeria and is still growing. “We have a strategic plan to increase our customer service contact centres to 50 by this year”, she added. In response to radio and press announcements, excited subscribers in Enugu thronged to No. 23, Okpara Road, the location of the new Gloworld shop to experience the promised one-on-one, hi-tech customer care services of Globacom as soon as the shop threw its doors open to customers. With the opening of the new Gloworld, customer can obtain quick solutions to all issues ranging from SIM replacement to making enquiries and recovering over-scratched recharge cards. Other services offered by Gloworld include refilling of airtime, unblocking, phone and laptop configuration and payment of bills. The Gloworld also offers subscribers the additional benefits of purchasing all Glo products in a more comfortable and classy environment. Other dignitaries at the ceremony, who were also the first to be served at the new Gloworld, included the Enugu State Commissioner for Information and Culture, Chuks Ugwoke and the chief executive officer of Alhambra Resources, Chime Orji.
Zain Nigeria selects AIRCOM to improve 2G and 3G service
Zain Nigeria selects AIRCOM to improve 2G and 3G service
. . . introduces new reward scheme for loyal customers
Ben Uzor Jr, with agency reports
GSM operator, Zain Nigeria has chosen Aircom International, an independent network planning and optimisation consultancy to manage its transformation services project for its 2G and 3G networks. As part of the agreement, Aircom consultants would audit the performance of Zain’s 2G and 3G networks, in order to reach agreed Key Performance Indicators (KPIs). Furthermore, the Aircom team will also play a fundamental role in assisting with CAPEX (Capital Expenditure) optimisation and OPEX (Operating Expenditure) reduction plans, estimated to save circa £6m during 2010 alone.
Meanwhile, existing and intending mobile phone users in Nigeria who are on the Zain network can now earn points, receive prizes and enjoy discounts when they use their phones. Under the terms of the newly introduced Zain Loyalty/Rewardz Scheme, customers who opt for the programme will earn points as they use Zain (make calls, send SMS or use data) making it possible for them to redeem various prizes as they accumulate enough points. The programme which is both a loyalty plan and reward scheme is open to both pre-paid and post-paid customers. Speaking at the launch of the scheme in Lagos, Shamel Hanafi, chief commercial officer, Zain Nigeria said the programme is specially packaged by the company to offer its customers special privileges and rewards for their loyalty to the brand. He explained that the introduction of the scheme further demonstrates the company’s well entrenched customer-centric culture in service delivery, adding that Zain is constantly devising ways to give those on its network more value for money. Hanafi added: “At Zain, over the years we have remained wholeheartedly committed to delighting our customers through innovative products and services and top class customer care service delivery because we recognise that they are the reason why we are in business. “Indeed, we operate on the maxim that our customers are more than just a number and that we must offer them something more than others in line with our brand philosophy of helping Nigerians enjoy a ‘wonderful world’”, said Hanafi. Zain customers who choose to participate in the scheme can earn points by using airtime through voice calls, SMS or data download/upload. The prizes to be won by customers are determined by the number of points earned.
. . . introduces new reward scheme for loyal customers
Ben Uzor Jr, with agency reports
GSM operator, Zain Nigeria has chosen Aircom International, an independent network planning and optimisation consultancy to manage its transformation services project for its 2G and 3G networks. As part of the agreement, Aircom consultants would audit the performance of Zain’s 2G and 3G networks, in order to reach agreed Key Performance Indicators (KPIs). Furthermore, the Aircom team will also play a fundamental role in assisting with CAPEX (Capital Expenditure) optimisation and OPEX (Operating Expenditure) reduction plans, estimated to save circa £6m during 2010 alone.
Meanwhile, existing and intending mobile phone users in Nigeria who are on the Zain network can now earn points, receive prizes and enjoy discounts when they use their phones. Under the terms of the newly introduced Zain Loyalty/Rewardz Scheme, customers who opt for the programme will earn points as they use Zain (make calls, send SMS or use data) making it possible for them to redeem various prizes as they accumulate enough points. The programme which is both a loyalty plan and reward scheme is open to both pre-paid and post-paid customers. Speaking at the launch of the scheme in Lagos, Shamel Hanafi, chief commercial officer, Zain Nigeria said the programme is specially packaged by the company to offer its customers special privileges and rewards for their loyalty to the brand. He explained that the introduction of the scheme further demonstrates the company’s well entrenched customer-centric culture in service delivery, adding that Zain is constantly devising ways to give those on its network more value for money. Hanafi added: “At Zain, over the years we have remained wholeheartedly committed to delighting our customers through innovative products and services and top class customer care service delivery because we recognise that they are the reason why we are in business. “Indeed, we operate on the maxim that our customers are more than just a number and that we must offer them something more than others in line with our brand philosophy of helping Nigerians enjoy a ‘wonderful world’”, said Hanafi. Zain customers who choose to participate in the scheme can earn points by using airtime through voice calls, SMS or data download/upload. The prizes to be won by customers are determined by the number of points earned.
Monday, November 16, 2009
Internet addresses set for major technical change by 2010
Internet addresses set for major technical change by 2010
Ben Uzor Jr with agency reports
A novel way of typing internet addresses has been approved, described as the ‘biggest technical change’ since the internet was created 40 years ago, Business Day has learnt.
The organisation that oversees them has backed the use of non-Latin characters from languages like Arabic, Chinese, Hebrew, Hindi and Korean. Before hand, top-level domains (TLDs – the end of web addresses like .com and .co.uk) have been limited to the 26 characters in the Latin alphabet used in English (A-Z) as well as 10 numbers and the hyphen. This has implied that internet users with little or no knowledge of English Language may still have to type in Latin characters to access their country’s web pages.
As it stands now, web address using characters from different languages will be available by mid 2010. It was gathered that the Internet Corporation for Assigned Names and Numbers (ICANN) board at a meeting in Seoul, South Korea has approved their use.
To this effect, nations and territories will be able to apply for internet address endings reflecting their name and using their national language from November 16, once ICANN’s Internationalised Domain Name (IDN) fast track process commences.
If the applications meet certain criteria, including government and community support and a stability evaluation, the applicants will be approved to start accepting registrations for domain names. Business Day checks reveal that more than half the world’s internet users do not use English or Latin-based language as their first language and this move will see around 100, 000 new characters available for use in IDNs. The internet’s origin can be traced to experiments at United States (US) universities in 1969 but it was not until the early 1990s that its use began expanding beyond academia and research institutions to the public. Peter Dengate Thrush, chairman of ICANN stated: “The coming introduction of non-Latin characters represents the biggest technical change to the internet since it was created four decades ago.” In the same vein, Joe White of Gandi.net, which provides internet services based on domain names added: “This first wave of applicants will give an early indication as to how the structure of the internet might evolve by giving a glimpse of which new TLDs might arrive first. “It will prompt businesses to start thinking about how to adapt their strategy, whether they want to run their own TLD or register a domain within a new TLD such as .lawyer. “Consumers will start to form opinions on whether they trust the new TLDs any more, whether they see any value in them, and whether it’s really as exciting as ICANN thinks it will be.”
Ben Uzor Jr with agency reports
A novel way of typing internet addresses has been approved, described as the ‘biggest technical change’ since the internet was created 40 years ago, Business Day has learnt.
The organisation that oversees them has backed the use of non-Latin characters from languages like Arabic, Chinese, Hebrew, Hindi and Korean. Before hand, top-level domains (TLDs – the end of web addresses like .com and .co.uk) have been limited to the 26 characters in the Latin alphabet used in English (A-Z) as well as 10 numbers and the hyphen. This has implied that internet users with little or no knowledge of English Language may still have to type in Latin characters to access their country’s web pages.
As it stands now, web address using characters from different languages will be available by mid 2010. It was gathered that the Internet Corporation for Assigned Names and Numbers (ICANN) board at a meeting in Seoul, South Korea has approved their use.
To this effect, nations and territories will be able to apply for internet address endings reflecting their name and using their national language from November 16, once ICANN’s Internationalised Domain Name (IDN) fast track process commences.
If the applications meet certain criteria, including government and community support and a stability evaluation, the applicants will be approved to start accepting registrations for domain names. Business Day checks reveal that more than half the world’s internet users do not use English or Latin-based language as their first language and this move will see around 100, 000 new characters available for use in IDNs. The internet’s origin can be traced to experiments at United States (US) universities in 1969 but it was not until the early 1990s that its use began expanding beyond academia and research institutions to the public. Peter Dengate Thrush, chairman of ICANN stated: “The coming introduction of non-Latin characters represents the biggest technical change to the internet since it was created four decades ago.” In the same vein, Joe White of Gandi.net, which provides internet services based on domain names added: “This first wave of applicants will give an early indication as to how the structure of the internet might evolve by giving a glimpse of which new TLDs might arrive first. “It will prompt businesses to start thinking about how to adapt their strategy, whether they want to run their own TLD or register a domain within a new TLD such as .lawyer. “Consumers will start to form opinions on whether they trust the new TLDs any more, whether they see any value in them, and whether it’s really as exciting as ICANN thinks it will be.”
Experts harp on interoperability for improved e-payment penetration
Experts harp on interoperability for improved e-payment penetration
Ben Uzor Jr
Electronic payment penetration in Nigeria has continued to deepen on a year-on-year basis by way of the activities of banks, switching companies, vendors of Automated Teller Machine (ATM), Point of Sale (PoS) and third party firms all struggling to extend the market scope. However, to further add value to end users seeking financial services through cost reduction and improved service delivery, there is a need to carve out reciprocal interoperability and unhindered interconnectivity between all stakeholders in the industry. Kyari Bukar, chief executive officer, ValuCard made these observation at the E-PPAN (E-payment Providers Association of Nigeria) Techno Interactive Series with the theme: “Towards Achieving Interoperability and Interconnectivity of Payment Schemes in Nigeria. What option?” held in Lagos recently. He stated that interoperability and interconnectivity is not only desirable but achievable; further explaining that achieving the objective rests on three critical pillars. “There must be a common and appropriate understanding by all industry stakeholders of the concept of interoperability. Also, there must be a common and appropriate understanding of the roles and functions of payment card industry players. Most importantly, the strict adherence to professionalism and the distinct roles and responsibilities of the different players built on the concept of separation of roles”, Bukar posited. In the same vein, Francis Ebuehi, chief executive officer, ChamsSwitch Limited called for the development of harmonised standards and operating procedure through a contractual framework binding all stakeholders, stressing that an agreement on standards and their enforcement for physical and system connectivity, payment processing, settlement would form the framework for interoperability. “Regulatory framework for cooperation between payment switches, issuers and between cards schemes should be expanded to cover all relevant areas and compliance to these enforced. Owners of channels (ATMs, PoS) must also comply with set standards to ensure card interoperability”, he added. Drawing out his road map towards attaining interoperability in the e-payment space, Akeem Lawal, chief technical officer, Interswitch stated that the e-payment landscape as initially envisioned was a seamless processing environment for all stakeholders; card schemes, channels and devices. For interoperability, he noted that all stakeholders must interconnect either to a central switch or to themselves. According to Lawal, the landscape has become complicated as there are presently 27 switches. In his view, the central switch must play an important role in achieving interoperability and should not be seen as competing with existing switches. Commenting on dangers in non-interoperability, Adesola Adeyiga, head, strategy and new business, e-Tranzact explained that this would translate to inadequate value to the banks, end users and industry players. It would also lead to ineffective market penetration as well as stiffen innovation, he further added.
Ben Uzor Jr
Electronic payment penetration in Nigeria has continued to deepen on a year-on-year basis by way of the activities of banks, switching companies, vendors of Automated Teller Machine (ATM), Point of Sale (PoS) and third party firms all struggling to extend the market scope. However, to further add value to end users seeking financial services through cost reduction and improved service delivery, there is a need to carve out reciprocal interoperability and unhindered interconnectivity between all stakeholders in the industry. Kyari Bukar, chief executive officer, ValuCard made these observation at the E-PPAN (E-payment Providers Association of Nigeria) Techno Interactive Series with the theme: “Towards Achieving Interoperability and Interconnectivity of Payment Schemes in Nigeria. What option?” held in Lagos recently. He stated that interoperability and interconnectivity is not only desirable but achievable; further explaining that achieving the objective rests on three critical pillars. “There must be a common and appropriate understanding by all industry stakeholders of the concept of interoperability. Also, there must be a common and appropriate understanding of the roles and functions of payment card industry players. Most importantly, the strict adherence to professionalism and the distinct roles and responsibilities of the different players built on the concept of separation of roles”, Bukar posited. In the same vein, Francis Ebuehi, chief executive officer, ChamsSwitch Limited called for the development of harmonised standards and operating procedure through a contractual framework binding all stakeholders, stressing that an agreement on standards and their enforcement for physical and system connectivity, payment processing, settlement would form the framework for interoperability. “Regulatory framework for cooperation between payment switches, issuers and between cards schemes should be expanded to cover all relevant areas and compliance to these enforced. Owners of channels (ATMs, PoS) must also comply with set standards to ensure card interoperability”, he added. Drawing out his road map towards attaining interoperability in the e-payment space, Akeem Lawal, chief technical officer, Interswitch stated that the e-payment landscape as initially envisioned was a seamless processing environment for all stakeholders; card schemes, channels and devices. For interoperability, he noted that all stakeholders must interconnect either to a central switch or to themselves. According to Lawal, the landscape has become complicated as there are presently 27 switches. In his view, the central switch must play an important role in achieving interoperability and should not be seen as competing with existing switches. Commenting on dangers in non-interoperability, Adesola Adeyiga, head, strategy and new business, e-Tranzact explained that this would translate to inadequate value to the banks, end users and industry players. It would also lead to ineffective market penetration as well as stiffen innovation, he further added.
Subscribe to:
Posts (Atom)