Cheques to be cleared within one day across Nigeria

May 08, 2013

The Central Bank of Nigeria (CBN) has reduced the settlement cycle of a cheque in Nigeria to one day across the country.

The Central Bank of Nigeria (CBN) has reduced the settlement cycle of a cheque in Nigeria to one day across the country.

The institution said in a statement that the initiative would make
cheques a
more attractive
means
of payment to users, instead of using cash for their transactions.

The Nigeria InterBank Settlement Systems (NIBSS) and Nigeria's leading financial services software provider, Precise Financial Systems (PFS), worked with the CBN to achieve this breakthrough across all the 37 branches of the CBN located in Nigeria.

PFS' CEO Yele Okeremi,
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said in a statement made available to Vanguard that the new regime will reduce
costs,
time and the stress level involved in cheque clearing operations.

He added that before the cheque truncation regime, banks would have to send their outward cheques to respective central clearing departments. However, with the system, cheques can be truncated directly at the branch of deposit.ADNFCR-2976-ID-801582273-ADNFCR