Central bank delays payment systems change
The Bank of Namibia (BoN) says the transition to the National Payment System 9 (PSD-9) is geared to ensure alignment for commercial banks in the Common Monetary Area (CMA).
This follows a recent announcement regarding a change in cross-border payments which was scheduled for 30 April, but will now only take effect from 30 September.
As part of the migration to PSD-9, collectors in CMA countries including South Africa, eSwatini and Lesotho will no longer be able to collect debit orders from their customers who have Namibian bank accounts, and Namibian collectors will not be able to collect debit orders from their customers in other CMA countries who do not hold domestic bank accounts.
Collectors will be required to register as collectors in their respective countries, subject to domestic collection rules and regulations.
Explaining the extension, the BoN said it remained committed to providing commercial banks with a seamless transition to PSD-9, with minimal disruption.
“PSD-9 was originally scheduled to come into effect on 30 April, [but] the bank has resolved to extend this date to 30 September. Following consultations with stakeholders, including banking institutions and the public, concerns were raised regarding potential disruptions to transaction speed, convenience and costs associated with the migration to the Southern African Development Community Real-Time Gross Settlement System (SADC-RTGS) platform,” it added.
“As a way forward, banking institutions are expected to implement necessary changes in accordance with regulatory guidance on the SADC-RTGS channels to minimise additional costs and ensure a seamless customer experience."
The central bank said it remained committed to ensuring an efficient, secure and cost-effective national payment system while promoting financial inclusion, innovation and healthy competition.
This follows a recent announcement regarding a change in cross-border payments which was scheduled for 30 April, but will now only take effect from 30 September.
As part of the migration to PSD-9, collectors in CMA countries including South Africa, eSwatini and Lesotho will no longer be able to collect debit orders from their customers who have Namibian bank accounts, and Namibian collectors will not be able to collect debit orders from their customers in other CMA countries who do not hold domestic bank accounts.
Collectors will be required to register as collectors in their respective countries, subject to domestic collection rules and regulations.
Explaining the extension, the BoN said it remained committed to providing commercial banks with a seamless transition to PSD-9, with minimal disruption.
“PSD-9 was originally scheduled to come into effect on 30 April, [but] the bank has resolved to extend this date to 30 September. Following consultations with stakeholders, including banking institutions and the public, concerns were raised regarding potential disruptions to transaction speed, convenience and costs associated with the migration to the Southern African Development Community Real-Time Gross Settlement System (SADC-RTGS) platform,” it added.
“As a way forward, banking institutions are expected to implement necessary changes in accordance with regulatory guidance on the SADC-RTGS channels to minimise additional costs and ensure a seamless customer experience."
The central bank said it remained committed to ensuring an efficient, secure and cost-effective national payment system while promoting financial inclusion, innovation and healthy competition.
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