CBN Issues Conditional Approval To Payment Service Banks

The Central Bank of Nigeria announced on Wednesday that it has issued an approval in principle to three Payment Service Banks.

The three institutions issued the AIP to operate as payment service banks are Hope PSB, Money Master PSB and 9PSB.

The CBN said the issuance of the AIP was in line with its objective of enhancing financial inclusion and the development of the payment system by increasing access to deposit products and payments services through a secured technology-driven environment.

The Director, Corporate Communications Department, CBN, Mr Isaac Okorafor, explained that the approval in principle was part of the processes the institutions had to fulfil in order to be granted the licence to operate as fully-fledged payment service banks.

According to Okorafor, the decision of the CBN to issue the AIP to the applicants followed the institutions’ satisfaction of documentation and other laid-down conditions.

He said sequel to the issuance of the AIP to the three banks, they “are expected to submit their respective applications for the grant of a final licence, not later than six months after the AIP.”

He said the CBN’s code of corporate governance for banks would also be applicable to the PSBs.