laudate:


Wow!! Thanks for proving to us that you are really clueless. Forgive me, if I take my leave now. You know absolutely nothing about what it takes to install, operate and maintain a payment processing platform. You claim they are inefficient. Pray tell, did other more efficient companies tender for the deal and they were denied?? Are you aware of the number of firms that bidded for this job??

In your previous post, you compared the costs of maintenance of an ATM machine, with the cost of maintaining a payment processing platform used by multiple users in disparate locations that handles more multi-million transactions than the entire ATM network in the whole country.

Sir, I know all about the exploitative tendencies of the ATM cartel in Nigeria. They like charging for services they do NOT provide and are clueless when it comes to providing prompt repairs or maintenance services. Trust me, I have managed various ATM service providers before in Nigeria, and they are a headache unlike their counterparts in Europe, America and other continents. Enforcing service level agreements with this bunch always results in a war of wits.

It is folks like you that will end up paying 10 times the stipulated 1% fee to Mastercard, Visa international AM Express, CR2 and foreign owners of other payment processing platforms because there is no local expertise to support their aspirations. It is tiring explaining the same facts over and over again to those who do not wish to learn.

Anyway, you just registered on NL for the first time today just to make this post. So I am not surprised at your naivete.

Sir, If you work for a payment processing company in Nigeria , you should be fired immediately. What do you know about the real-cost of developing and rolling out payment processing platforms?
Good luck

laudate:


I do NOT work for the company that owns Remitta and I never will. It is strange how people like you are so quick to jump to wrong conclusions, when a position has been taken. I have however been privileged to be part of project teams at home and abroad, that have set up and maintained payment processing platforms, for multinational clients. Every processing platform in the world charges a fee, for every transaction conducted using its platform. It doesn't matter if the users are private individuals or government agencies.

Please read through all the posts on this thread to learn more about Remitta and what it was set up to do, as well as how the 1% fee was arrived at and how it is expected to be shared.

Charging a certain percentage as fees on a transaction, is standard practice in business circles all over the world, so please do not imply that this is a strange or illegal practice. Even your banks charge you COT on your account, for transactions that have been conducted over a period of time. CBN did not put down a kobo for the set-up and installation of Remitta.

Kindly conduct your research on the whole project before responding to my post, because if you persist in sustaining this line of reasoning, then you will have to forgive me and any other respondent for believing that you are clueless. Am out!

Sorry, you cant lecture me on payment transactions and fees. For this type of transaction, I have explained how the government can reduce cost and have a flat ongoing management fee of max N10M/ month paid to any company managing this. Anything outside that is share waste of public money going to a pre-selected few who are very inefficient for that matter. The fees that run into N'billions can be put to a better use in Nigeria. I'm not arguing with you over the legitimacy of inter-network fees, but there is a cost effective option explained above. It is no surprise when other networks filed a petition to CBN few weeks ago. All got too comfortable just collecting without any real value and they raised alarm because REMITA was favoured in the deal.

meforyou1:
do you really understand what remita means?

Do I understand what REMITA means?
You have no idea who is responding to you.

Keep sharing government revenue and be calling it transaction fee.
How would you like to pay N'billions to transfer your money?
I'm done with this.

laudate:


A little learning is a dangerous thing. Please educate yourself to know how the 1% was arrived at and the total number of commercial banks as well as the firm that would share that 1% fee.

You did not even read through all the posts on this thread, you just jumped in shouting that the whole thing stinks to high heavens. Chai!! See some Nigerians and their narrow-minded, ignorant, myopic sense.

You seem not to understand what is wrong in all these. Maybe you work for REMITA. You cannot, I repeat, you cannot charge a % of public fund. If you want to be charging a %, go start a business, let the public pay the fee for your service. No one will care., but when you begin to charge a % of government revenue, free money that is guaranteed to come, it's just plain wrong and simple.
I don't need to learn anything from you because you don't know what you are talking about obviously.

This revenue collection should be a flat management fee. The connections ensuring fund movement does not need innovation to warrant elaborate ongoing research and development as in commercial applications. Where is REMITA's cost to warrant sharing government revenue?

This story stinks to the heaven.

I cannot believe how people are defending the 1% share of people money. It does not matter if shared among one
million entities. It is wrong! The federal government can spend less than N10M monthly on this service ball park.

What pains me in this whole story is the fact that the same shameless people are in charge of regulation. Any juicy projects are hijacked by the same people and they will frustrate any innovation by coming up with bogus regulations.

The CBN story about how World Bank was invited to vet the bidders and how system spec was selected is shameful. You
can invite John the Baptist from planet Mars to vet. Who cares? If CBN is the one selecting the bidders and REMITA is the baby of Tunde Lemo the former CBN deputy Director, who in his right mind will take any decision made by CBN seriously?


The same CBN that approved this deal is regulating the financial sector with the most thoughtless regulations that is preventing the growth of this sector. Where in the world are businesses expected to run when they can’t charge a fee on ATM or if fees are charged, must be below the cost. Yet they feel it is ok for REMITA to charge 1% of the whole government revenue, but no, other providers must charge a flat fee on fund movement. For your information, if you move N100 or N1B in Nigeria there is a flat fee by Nibss of less than N100. How can this translate into billions for REMITA and the others bleeding people money?


How in the world is government department like CBN with the most unrealistic regulation expects the financial sector to grow beyond relying on sharing government revenue among themselves and call it transaction fee?

I continue to believe that Majority of Nigerians in positions of power are actually of low IQ, they appear smart
to an unsuspecting Nigerians, but they are not smart at all. They all get paid salaries from the masses money, contribute nothing of value to the society and then turn against the masses. These are really sick people.


How is this 1% collection of people’s money different from what the politicians did when they delve their hand into
the till and bleed the nation? and how can a sane person expect this to last? How can CBN defend such, oh well, they know most Nigerians are gullible.

Any person familiar with fund movement within banks understand how payment system work in Nigeria and that this project should not cost the federal government more than N10M monthly and such contract can be awarded to any company.
Their role is NOT to charge a penny, but to manage the
technical infrastructure powering the transactions and ensure that funds are collected and channeled to the appropriate accounts


How convenient it is to be charging 1% of a country revenue and you call yourself an innovative company. This is
shameful. What invention have you created to alleviate the suffering of Nigerians except steal their money?

The billions been deducted monthly as fee is enough to pay 5 million Nigerians a N5, 000 monthly social security. Do
you have an idea what that means for the economy, country?
Your savior is among those millions wallowing in poverty and eventually snuffed out.

Few people with analog brains are sharing these billions monthly with inpunity doing practically nothing. What exactly are they doing? Let them put it out and let’s test their claims. Once the system is connected to the infrastructure that matters, the remaining cost is hosting fee and if the hosting
company charges electricity and HVAC cost, then calculate how much that will be per month. You can see that this
service can be run with N10M maximum monthly and this include 20 staff at least.


Heads must roll. CBN and others must be probed alongside all the people sharing this money. This is wrong and this is coming from somebody who understand the system very well.

If you want to charge per transaction fee, go ahead and compete in the market and let us see how well you fair in
the market.