Banks Raise Investment on e-Banking Channels

Deposit Money Banks (DMBs) in the country have significantly increased the level of investment in their electronic banking channels as part of efforts to combat the rising threat to the alternative banking system.

The move, would enhance confidence in electronic banking channels especially with the planned nationwide extension of the cashless policy from July this year.

For instance, all banks are assiduously working towards meeting the June deadline for the installation of anti-scheming device on their Automated Teller Machines (ATMs) across the country.

“For us as an industry, what we agreed to do is that all banks should have anti-scheming device on their ATMs and that will be effective June this year,” the Chairman, Committee of e-Banking Industry Heads (CeBIH), Mr. Chuks Iku said in an interview.

According to Iku, his association has agreed that all banks should comply with the directive before the expiration of the deadline.

He noted that being a global player in the e-payment space, the device would protect banks against fraud, even as he expressed concern over the activities of fraudsters.

He urged customers to protect the personal identity numbers of their various e-banking channels.

Iku added: “The anti-scheming device will also protect foreigners who come to Nigeria from fraudulent ATM machines when they come to Nigeria and use their cards. The anti-scheming device also ensures that we comply with global best practice.”

Furthermore, he explained that DMBs are currently discussing with Microsoft to seek extension of technical support for Windows XP software following the expiration of the deadline set by the American company on April 8.

Microsoft had stopped supporting the security system of the Windows XP after giving a long notice of its intension to do so.

But Iku noted that the continued use of Windows XP by some banks’ ATMs does not pose any threat, adding that banks were assiduously working towards upgrading their system.

He said CeBIH was already in discussion with Microsoft on behalf of DMBs.
“The migration is from Windows XP to Windows 8. Microsoft is the owner of the licence and this is why we are working with Microsoft in terms of ensuring that we comply.

“What we are doing now at the CeBiH is to ensure compliance, working directly with Microsoft. Different banks have different ways of approaching the matter.

“The ATMs are still working. They are not going to go down. But all we are trying to do is to enhance the features of the ATMs in terms of the migration. There is really no cause for alarm but the important thing is that we should do it quickly,” he explained.