The Central Bank of Nigeria (CBN) has issued guidelines for licensing and regulation of Payments Service Holding Companies (PSHC) in Nigeria.
Disclosing this in a circular titled ‘Circular To All Deposit Money Banks, Payment Service Providers And Other Financial Institutions On Issuance Of The Guidelines For Licensing And Regulation Of Payments Service Holding Companies In Nigeria’, CBN stated that the guidelines it issued will help to facilitate the understanding of regulatory requirements for operations of a PSHC in Nigeria.
According to the circular, the apex bank recently issued a Circular on New Licence Categorisations for the Ngerian Payments System (ref:PSMICIR/GEN/CIR/01/22) which requires companies, desirous of offering switching and processing services and mobile money services, to set up a Payments Service Holding Company (PSHC) structure, such that the activities of the subsidiaries are clearly delineated.
Following this, “The CBN, hereby issues the Guidelines for Licensing and Regulation of Payments Service Holding Companies in Nigeria to facilitate the understanding of regulatory requirements for operations of a Payments Service Holding Company (PSHC) in Nigeria.
“All stakeholders are required to ensure strict compliance with these Guidelines and all other regulations.” CBN stated