In March 2007, CBN launched the Payments System Vision 2020 (PSV2020). Through the implementation of the original PSV2020 and subsequent activities of CBN and the banking community, Nigeria has witnessed an impressive growth of electronic payments and a move from the dominance of cash as a means of payment. In 2013, CBN initiated a further formal assessment of the payments market, resulting in the PSV2020 Release 2.
The original PSV2020 carried the overall objective to make the Nigeria payment systems 'Internationally Recognised, Nationally Utilised'. The existing infrastructure was assessed against the international best-practice defined by the Bank for International Settlements, and to encourage usage of electronic payments, seven specific initiatives were identified to promote adoption.
The 2013 revision follows the same successful approach. The key recommendations result from key deficiencies when assessed against the current BIS IOSCO Principles for Financial Market Infrastructure (PFMI). It should be noted that the PSV2020 key recommendations result from a much higher target for compliance than was possible in 2007 due to the significant progress already achieved – we entered 2013 with a significantly more resilient structure than in 2007 and so can be more aggressive in future goals.