E-Business
NCS Must not Compete with Commercial Payment Schemes-Experts
Global e-payment experts who converged at the second E-Payment Providers Association of Nigeria (E-PPAN) Techno-Interactive conference in Lagos recently agreed among other issues that the Nigeria Central Switch (NCS) should not be a profit oriented concern.
To address the challenges of non-interoperability of payment schemes in the country, the Bankers Committee, in 2005, initiated the establishment of the NCS to be operated by the Nigeria Interbank Settlement System (NIBSS) and to connect all payment switches; hence, making it possible for banks customers to use their cards on all payment devices irrespective of the owner.
Mrs. Bridget Morris, Africa’s leading transaction switching expert, whose paper ‘Switching, Interoperability and Interconnectivity’ was presented by Mrs. Onajite Regha, CEO of E-PPAN argued that NCS as a transfer systems, which exist between the banks are ‘infrastructure’ companies and should not be for profit companies because in this scenario the owners and customers are the same entities, namely, the banks.
“I would suggest that Interswitch, ValueCard and eTranzact and others should really be categorised as Payment Service Providers or Payment ‘Schemes.’ They need to be ‘for profit’ entities. They are providing payment services and gateways into the main clearing and settlement systems. They are not guaranteeing settlement and finality of payment themselves”, she said.
She explained that often Central Banks set-up or own these interbank switches and operates them with nominal fees and not for profit. According to her many countries consider that Central Bank’s business is about monetary policy, interest and exchange rates, and not about operating switches; so the switch company is usually separated off and run by the retail banks. They focus on clearing and settling of retail payments which is considered to be the business of retail banks not Central Banks.
She however, commended Mr. Sanusi Lamido, governor of Central Bank of Nigeria (CBN) for making difficult and positive gains in consolidating the banking industry and tackling bad loan books. According to her, this ‘tough’ action is provoking much international admiration. “We need to do likewise in the payments industry. We, in Africa, need to be seen to adhere closely to ‘best practice’ wherever possible in order to convince the rest of the world of our credibility. Central EFT switches and retail payments clearing houses and RTGS systems are the assurances that foreign partners look for”, she submitted.
Mr. Kyari Abba Bukar, managing director of ValuCard Nigeria who chaired the events that brought together banks, payment scheme operators and the media said interoperability and interconnectivity is not only desirable but achievable in the system. However, he argued that achieving the objective rests on three critical pillars. These are common and appropriate understanding by all industry stakeholders of the concept of interoperability; common and appropriate understanding of the roles and functions of payment card industry players; and strict adherence to professionalism and the distinct responsibilities of the different players built on the concept of separation of roles.
He noted that NCS should connect to other switches in order to ensure that when an issuer and acquirer are connected to different switches, the NCS will switch transactions between the different switches. However, where primary switches exist, NCS should not see transactions between issuers and acquirers that are connected to the same primary switch, as that will translate to competition with primary switches.
Primary switches should not establish connection with each other. If such happens, it would amount to elimination of the central switch. “As a monopoly, a central switch must not promote any card or payment scheme or engage in processing and other services of other industry players,” he said.
However, Mr. Akeem Lawal, chief technology & operations officer at Interswitch said it is imperative for industry stakeholders to determine the standards, rules, regulations and enforcement procedures for the management of the NCS before it commences operations. He maintained that interoperability and interconnectivity of payment scheme differs from country to country, depending on the history and development of the payment systems.
Lessons from other Countries
Nigeria CommunicationsWeek findings revealed that different country achieved interoperability and interconnectivity of their payment system in peculiar manners, depending on the history and growth of the system.
South Africa
The big four banks (Nedbank, absa, Standard Bank and First National Bank) have a central switch called BANKSERV through which they connect to VISA and MasterCard. The smaller banks either use BANKSERV or connect through local third party processors.
Canada
In Canada, there is a proliferation of different payment switches with direct interconnect amongst payment schemes
France
France operates a classic model of a central switch. All banks in the country connect to a central switch and card network known as Carte Bancaire. Most banks connect to VISA and MasterCard through this network while some banks connect directly.
United States
In the United States, there is a proliferation of payment schemes with bilateral interconnect agreements among them. No attempt has been made to implement a central switch.
In his own contribution, Mr. Adesola Adeyiga, head strategy and new business at eTranzact insist that the buy-in of all players is one of the critical factors for successful implementation of NCS. Other factors he listed include minimum standard for integration, regulation, dispute resolution management, across switch transactions settlement standard and transaction charges and fees.
Mr. Francis Ebuechi, CEO of Chams Switch, however, warned that NCS should not be seen as competing with existing switches. The roles for switches, issuers, financial institutions, Independent Service Operators (ISOs) and central switch should be clearly defined.
However, stakeholders at the conference were unhappy that NIBBS, the operators of the NCS were not present. “It is a shame that operators of the NCS who typically should be here to answer attendees’ questions in order to fuller understanding of the strategy, objectives and visions, were absent. An operator should be where its customers are and especially in a forum like this where your customers will be sitting. I think it is a big indictment on the part of that organisation”, head of E-Business of one of the big banks who was also at the meeting, said.
Access Holdings Plc and Coronation Group have partnered with Tate Modern to commemorate World Art Day with a virtual session highlighting the global significance of Nigerian modernism.
Access Holdings
The event, titled “In Conversation with Osei Bonsu: Inside Nigerian Modernism,” featured a virtual tour of the Nigerian Modernism exhibition and discussions on the evolution of modern art in Nigeria.
The session brought together staff members across both organisations, reflecting growing institutional engagement with arts and culture as a driver of societal development.
Speaking at the event, Chief Communications and Marketing Officer of Coronation Group, Ngozi Akinyele, emphasised the role of art in shaping identity and national development.
She said that beyond financial capital, cultural and intellectual capital are essential in defining a nation’s prosperity and inspiring dialogue.
Akinyele noted that both organisations were committed to democratising access to art, ensuring it is accessible to a wider audience rather than a select few.
The discussion also featured insights from Tate Modern Curator, Osei Bonsu, and art expert Daniel Wallis, who examined the development of Nigerian modernism and its global relevance.
Bonsu said Nigerian modernism represents an independent reimagining of global art, rooted in the country’s diverse cultural heritage and expressed through unique visual languages.
According to him, the movement challenges narrow, Eurocentric definitions of modernism and highlights the richness of African artistic expression.
The session further underscored the growing international recognition of Nigerian art, particularly through exhibitions at Tate Modern.
Participants also reflected on the visit of Bola Ahmed Tinubu to the exhibition, described as a milestone in promoting Nigeria’s cultural heritage globally.
In his closing remarks, Chief Communications Officer of Access Holdings, Amaechi Okobi, reaffirmed the organisation’s commitment to advancing African narratives on the global stage.
He said the collaboration with Tate Modern aligns with broader efforts to promote dialogue, preserve cultural identity and support the creative sector.
The event reinforced a shared commitment by Access Holdings, Coronation Group and Tate Modern to elevate African art globally and ensure Nigerian cultural narratives continue to shape international conversations.
Nigeria Data Protection Commission (NDPC) has issued a regulatory advisory to data controllers and processors across the country following what it described as escalating threats to Nigeria’s data security architecture.
NDPC
In a statement signed by Babatunde Bamigboye, lead of Legal, Enforcement and Regulations, the commission said its technical assessment revealed that some shadowy threat actors were engaged in coordinated operations targeting financial systems and critical digital infrastructure in Nigeria.
The commission urged public institutions to comply with the presidential directive of Bola Ahmed Tinubu, which emphasises the strategic importance of data in national development.
According to the NDPC, the President had declared that “data is the new oil,” stressing the need for Ministries, Departments and Agencies (MDAs) to rigorously capture and safeguard information in line with the Nigeria Data Protection Act, 2023.
The commission therefore advised all data controllers and processors to urgently strengthen their technical and organisational measures to protect personal data and ensure compliance with the law.
It listed key measures to include the appointment of trained and certified Data Protection Officers, implementation of comprehensive privacy policies and information security standards, as well as conducting Data Privacy Impact Assessments.
Other measures recommended by the NDPC include deployment of robust identity and access controls such as Multi-Factor Authentication, adoption of zero-trust security architecture, prompt remediation of system vulnerabilities, and continuous patch management.
The commission also emphasised the need to secure cloud infrastructure, application programming interfaces (APIs), databases and access credentials, alongside real-time monitoring, logging and threat detection systems.
Further recommendations include encryption and secure credential handling, regular vulnerability assessment and penetration testing of critical systems, as well as routine backup and resilience testing.
The NDPC warned that organisations that fail to implement appropriate data protection measures in accordance with the Nigeria Data Protection Act, 2023 risk legal liabilities.
It reiterated its commitment to providing regulatory support to organisations while ensuring the protection of personal data and strengthening institutional resilience across all sectors.
The forex market across Africa is witnessing more participants and more regulatory attention than it did just a few years ago. This growth is part of a bigger picture: Sub-Saharan Africa is expected to expand by 4.3% in 2026, while global forex turnover already hit an estimated $9.6 trillion daily in April 2025. However, there’s more to it than macroeconomic figures.
The trends reshaping the market are happening from within. Here are six worth paying close attention to.
1. Trading Has Moved to the Phone
The number of people accessing the market via mobile phones exceeds those accessing it via traditional bank systems. GSMA states that in Sub-Saharan Africa alone, there are more than 1.1 billion registered mobile money accounts.
The International Monetary Fund states that digitalisation and increased usage of the internet are changing payment systems in the Sub-Saharan Africa region.
Mobile access changes traders’ behavior. It lowers the barrier to entry and speeds up deposits and withdrawals. Therefore, brokers who can provide a quality mobile trading experience will have a huge advantage.
2. Regulators Are Watching
The market is becoming more structured and more transparent. In South Africa, the FSCA regulates market conduct for financial institutions. In Kenya, the Capital Markets Authority regulates capital markets and maintains a licensing system that includes online forex brokers.
Nigeria’s SEC has publicly warned that online retail forex trading can be subject to abuse when unregulated. It also provides tools for investors to check operators’ registrations.
As a result, in 2026, more traders are likely to favour brokers that can show clear licensing, transparent operations, and stronger investor safeguards.
3. Volatility Varies by Country
A common mistake is perceiving the African market as one entity. In reality, according to RegTech Afrika, there are 21 countries out of a total of 54 that have a chance of seeing their currencies depreciate in 2025, with some of them losing value by as much as 6% or more.
A trader watching the rand, naira, shilling, or cedi, regional headlines needs more than regional headlines. Country-level macro data, central bank moves, and the US dollar will still play a major role.
4. Cross-Border Payment Infrastructure Is Quietly Improving
Platforms like PAPSS are helping make payments across African countries faster and easier to complete in local currencies. According to official announcements of PAPSS, it has become operational in 18 countries across Africa, with its latest launch in Algeria in 2025. It has also become operational in Kenya through a partnership with KCB Group, as well as in Rwanda through a partnership with Bank of Kigali.
Step by step, Africa is becoming a more financially connected continent.
5. Execution Quality Is the New Standard
Data from the BIS shows that in April 2025, three-quarters of FX trades were intermediated by the global centers of the United Kingdom, the United States, Singapore, and Hong Kong. Therefore, the best liquidity and best prices are still linked to global conditions.
For local markets, this raises the bar. Forex traders are becoming increasingly aware that tight spreads, while important, mean little without reliable prices and execution. Brokers like JustMarkets that can bring all of these elements together are in a much stronger position than competitors.
6. Education as a Necessity
Regulatory disclosures from major global brokers illustrate how tough it is to trade without proper knowledge. According to publicly available disclosures, between 70% and 80% of retail investor accounts lose money when trading CFDs.
Forex traders who understand risk management and which financial news to follow have a better chance of surviving the market. Brokers who invest in education are more likely to be seen by traders as valuable partners rather than mere facilitators.
The Market Rewards the Prepared
Africa’s forex market in 2026 is shaped by volatility, stricter rules, and mobile-first trading. The traders who combine market knowledge with the right tools and the right broker will find real opportunity here, while those who don’t adapt will find the market increasingly unforgiving.
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