As a technology enthusiast who has keenly followed developments on the local scene for a while, I am inclined to think Nigeria is close to announcing its arrival on the global payment technology landscape.
Since I am not a politician, I will not dabble into what seems to have snowballed into a political tornado between Nigeria’s two leading parties on who actually initiated the FGN TSA scheme – GEJ or PMB. Information in the public domain however clearly indicates TSA commenced under GEJ in 2011 and PMB gave it a new lease of life in September 2015. Case closed!
I will also not attempt to dip into the contractual arrangements between the central Bank, commercial banks and SystemSpecs: providers of the Remita payment technology platform. What we however know as at today is that a contract was signed that pegged fees at 1% to be shared in different ratios by all parties. I guess the lawyers will soon let us know if the FGN is bound by the contact or if it’s to be reviewed.
My excitement in the whole matter is about the emergence of an indigenously developed technology that is powering a serious national initiative such as the TSA as the Senate has unwittingly unearthed. I am all the more excited because the so called Remita payment technology platform developed by a 23 year old Nigerian software firm (SystemSpecs) has not been accused of under-performance or failure to perform at all! This is indeed a glorious day for Nigeria in my opinion.
Before now, we were used to Government institutions and agencies awarding “serious” software technology & services contracts to foreign organisations under the general belief that indigenous companies do not have what it takes to deliver. So has Remita proven that our indigenous software technology come of age?
Case in point: all commercial banks in the country currently use foreign software. The major e-payment switches also ride on foreign sourced software. Over to our national scheme, the accounting software for the entire country called Government Integrated Financial Management Information System (GIFMIS) was sourced from Estonia, a country of just about two million people. Our Integrated Tax Administration System (ITAX) at FIRS is sourced from Canada. Our National Payroll (IPPIS) sits on something sourced from USA.
One must therefore give kudos to the Federal Government who through the CBN has opened a huge window to locally developed software to compete in the big leagues. This should however not be allowed as a one-off affair. Other indigenous software providers need to be encouraged to showcase what they have. It is in this regard that I wish that the country will pay more attention to the prospects of indigenous technology as a major forex earner especially now that revenues from oil are dwindling.
What is stopping NITDA, ISPON, NCS and CPN from working aggressively with Government to package indigenous technology for wider adoption at home and for export to other countries? What is stopping us?
While efforts are being put together in this direction I want say BIG congratulations to SystemSpecs, the developers of Remita. Don’t rest on your oars. Enjoy the limelight while it lasts, but don’t forget to add me as the 4th party sharing in the 1% commission.
Jonathan Ajongbolo is an executive MBA student at University of Greenwich, London.
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