The Chairman of the Committee of Chief Information
Security Officers of Nigerian Financial Institutions (CCISONFI), Mr. Festus
Amede, has identified Data Minimization Principles, User Consent and Control,
as well as Compliance with Privacy Regulations as important elements in
protecting privacy in payments.
Amede who was represented by an executive member of
CCISONFI, Mr. Olusola Odediran (also, the Chief Information Security Officer)
Nigeria Inter-Bank Settlement System (NIBSS), spoke during his keynote
presentation at the maiden edition of Payments Forum Nigeria (PAFON 1.0) held
at Oriental Hotel, Lagos on Thursday.
His presentation themed, ‘Payments: Trust, Security and
Privacy in the AI Era,’ explored the critical aspects of trust, security, and
privacy in payments, and provided insights into the challenges, solutions, and
future trends in safeguarding transactions in the digital landscape.
The CCISONFI chairman stated that although the payment
industry enjoys such regulatory oversights arising from the Nigerian Data
Protection Act (NDPA) and Data protection laws, the Payment Card Industry Data
Security Standard (PCI DSS), and the compliance requirements for businesses,
the industry has balanced security and convenience relying on user experience
in payment security, seamless authentication methods, and biometric and
tokenized payments.
On how emerging Technologies will impact the payment
industry, he disclosed that while Blockchain will be deployed to ensure secure
transactions, Artificial Intelligence and Machine Learning will be used in
fraud prevention even as privacy-preserving computing impact cannot be
underestimated.
Amede called on players in the payment industry to
continue to educate consumers by providing them with tips on how to secure
online payments, how to recognise phishing attempts, and the importance of
keeping software updated.
He listed some of the best practices for businesses
including regular security audits and penetration testing; employee training on
security protocols; and ensuring collaboration with payment security experts.
Speaking further on the need to build trust in payment
systems, Amede, who is also the CISO of Zenith Bank Plc emphasised the
importance of trust for consumer adoption, transparency in transactions, and
commitment to securing the payment infrastructure.
He stated that the Payment Systems are exposed to such
threats and vulnerabilities as Cyber Attacks and Data Breaches, Phishing and
Social Engineering, and malware and ransomware.
Ikenna Ndugbu, the chief compliance officer, represented
by Isoken Aigbomian, the regional sales Manager, Moniepoint, highlighted the
evolution of Moniepoint into a leading payment processor, stating, “We started
off with a virtual account service where we automated payments or transfers,
allowing customers and businesses to make and receive payments seamlessly
through transfers. This was what catapulted and was modified into the limelight
and household name that seems to be.”
Aigbomian emphasized the company’s focus on providing
flexible payment options to businesses across various sectors, stating, “Today,
Moniepoint offers a wide variety of payment options to businesses. There is an
online payment platform, in-person payments option and then there are the cash
payments via our ATM network, which is almost, I think, one of the largest, as
well.”
She explained how Moniepoint MFB identified the need for
a seamless payment experience and developed innovative solutions to address it.
“So, what we did was we looked inward, and we said the most popular means of
payment in Nigeria is transfer. So we worked with our engineers and were able
to build an infrastructure.”
Roosevelt Elias, the founder of Payble, noted the
importance of data privacy and security in the age of digital payments,
stating, “It is essential to preserve the details of such trusted transactions,
as they often hold significant importance for the company’s outcomes and
operations.”
He endorsed cautious use of data and highlighted the
need for AI encryption and compliance-based companies to protect user privacy
and ensure regulatory compliance.
On the other hand, Peter Evbota, sales director at inq.
Digital Nigeria Limited, spoke on artificial intelligence (AI) and its ability
to transform sectors, particularly in data analytics and security.
He emphasized the power of AI in processing both
structured and unstructured data, highlighting its ability to detect patterns
and provide valuable insights.
Earlier in his welcome address, Mr. Chike Onwuegbuchi,
co-founder of TechCastle Foundation, organisers of the event, while giving
insight into why the forum was berthed, said payments are very critical in the
economy of every country including Nigeria.
“Last year,
before the elections, we witnessed what Nigerians faced in the payments system-
ATMs were not working to dispense cash, and at merchant locations, it was
difficult to make payments with banks’ PoS thanks to Moniepoint and few others
that came to the rescue,” he said.
Onwuegbuchi noted that there had been issues of declined
transactions and customers’ accounts debited, in addition to an existing
systemic fraud, misinformation and lack of information that have led to
customers losing their money to fraudsters.
“After looking at
these issues and many more, we at TechCastle Foundation decided to create a
platform where stakeholders could discuss these issues with the objective of
making our Payments systems better,” he said.
He stated that the essence of the forum was to make the
ecosystem better for every Nigerian as operators, regulators and end users are
expected to discuss to find a way to make the system better.
He added that trust issues in payments, security and
other industry-related issues were to be discussed at the forum by
cybersecurity experts who have distinguished themselves in working with money
deposit banks to ensure that cybercriminals didn’t steal money in the bank.
The inaugural edition of the Payments Forum Nigeria was
a cross-industry platform that focused on addressing issues that require broad
cooperation and coordination across many constituents in the payments industry.
PAFON 1.0, sponsored by Moniepoint, Digital Encode
Limited, Cybervergent, inq.Digital and Payble with support from the Central
Bank of Nigeria (CBN), provided participants with an inside look at the
Payments industry, offering perspectives from key stakeholders, including
payment networks, technology innovators, leading merchants, issuers, acquirers,
and payment processors.
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