The Nigeria Inter-Bank Settlement System (NIBSS) has entered into a partnership with Zone, a decentralized payment infrastructure company, to enhance its payment services. This collaboration aims to leverage blockchain technology to streamline NIBSS’s Payment Terminal Service Aggregation (PTSA) operations.
As an entity owned by the Central Bank of Nigeria (CBN), NIBSS will integrate Zone’s blockchain network to improve the efficiency and reliability of its payment systems. The adoption of this technology is expected to eliminate the central point of failure in transaction routing while maintaining the regulatory oversight and reporting capabilities required by CBN guidelines.
Premier Oiwoh, CEO of NIBSS, emphasized that this partnership represents a significant milestone in the organization’s mission to drive innovation and enhance the efficiency of Nigeria’s payment systems. “These strategic alliances will revolutionize the ecosystem, offering improved operational efficiency, cost savings, and enhanced financial inclusion, ultimately positioning Nigeria at the forefront of the global payment space,” Oiwoh said.
Obi Emetarom, CEO and Co-founder of Zone, described the collaboration as a testament to the transformative power of blockchain technology in the financial sector. He noted that blockchain can enhance regulatory oversight while streamlining operations for service providers.
Zone’s blockchain network enables decentralized routing, allowing for the direct exchange of financial messages between participating banks without the need for an intermediary. This partnership not only highlights the potential for blockchain technology to gain acceptance from regulators but also aims to enhance regulatory functions and drive mainstream adoption on a global scale.
