The Central Bank of Nigeria CBN, and the Nigerian Communications Commission NCC, are putting finishing touches to plans to introduce a new universal short code that would resolve the multiplicity of complaints arising from banking transactions in the country.

This collaborative initiative, among several other objectives, is designed to create a more accessible and efficient complaint resolution mechanism for all bank customers, irrespective of their internet connectivity.

It is also designed to promote financial inclusion by extending complaint services to individuals who may not have access to smartphones or consistent internet service. By dialing a simple short code, customers will be able to communicate with their banks and seek redress for grievances, thereby reducing the necessity of physical branch visits.

Speaking on the new initiative, CBN’s Director, Consumer Protection and Financial Inclusion, Dr. Aisha Isa-Olatinwo, noted that there are existing digital divide that hinders many customers from resolving banking issues.

She stated that the universal short code will foster inclusivity by providing all customers with equitable access to complaint resolution avenues.

It was gathered that as part of measure to achieve the objectives of the universal code, the apex bank has strengthened its consumer complaint management framework and deepened its collaboration with deposit money banks, who are recognised as frontline protectors of the financial system.

According to the CBN, approximately 94per cent resolution rate for consumer complaints within one month of their submission, indicating enhanced efficiency and accountability.

Recent findings from a poll conducted by Enhancing Financial Inclusion and Advancement (EFInA) reveal significant consumer pain points. The survey indicated that 61% of respondents encountered failed transactions over the past year, while 66 per cent were aware of the procedures for lodging and escalating complaints.

On transaction reversals, 26per cent of respondents received refunds within 24 hours, with 54% experiencing delays of 24 to 48 hours. The poll also identified issues such as fraud (6%), hidden charges (14per cent), and poor customer service (15per cent).

Consumer rights advocates have called for more robust protection measures. Mrs. Sola Salako-Ajulo, President of the Consumer Advocacy Foundation of Nigeria CAFON, expressed concerns that consumers often perceive regulators as favoring service providers.

She proposed the implementation of fraud insurance to facilitate prompt refunds in disputed cases, temporarily shifting the burden of proof from consumers during investigations.

Meanwhile, representative of the Committee of e-Business Industry Heads (CeBIH), Mr. Adeyemi Salisu, clarified procedures for failed transactions, emphasising that customers should not be redirected to merchants.

He noted that the responsibility for resolving such disputes lies with the acquiring and issuing banks, who must collaborate to ensure timely and satisfactory outcomes for customers.