BABJIDE OKEOWO
Central Bank of Nigeria (CBN) has issued an order to all Deposit Money Banks (DMBs) in the country to start implementing the new cheque standard from September 1, 2019.
According to CBN, in line with the new cheque standard, all parallel run for old and new cheques must conform to the standard aimed at increasing the efficiency and security of the Nigerian Clearing System.
The CBN said this in a circular that this order is in furtherance of its efforts to ensure a seamless transition to the new Cheque Standard.
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It also stated that it has become necessary to send reminders to all the banks, noting that after the 31st August, all the commercial banks in the country will be required to adhere to this new order.
The circular further revealed that the policy is in line with stipulations of the reviewed Nigeria Cheque Standard (NCS), the Nigeria Cheque Printers Accreditation Scheme (NICPAS) documents, and the exercise of powers conferred on the institution under Section 2(d). 33(1)(b) and 47(2) of the 2007 CBN Act.
CBN, therefore, urged the Deposit Money Banks to ensure that their cheque processing systems are ready and available for the full implementation of the new cheque standard, starting from the stipulated date.
The NCS and NICPAS were introduced by the Central bank in 2006 to increase the efficiency and safety in the Nigerian cheque clearing system, which the bank noted that the new and old standard shall run concurrently for one and half years, after which the old standard would be phased out.