Guest Contributor | Nov 5, 2019 | 0
Cheques written off as a payment instrument
The country on Sunday discontinued the use of cheques as a payment instrument according to a joint announcement from the country’s central bank, Payment Association of Namibia, and Namclear.
According to a statement the last processing day for a cheque to be cleared by the cheque payment stream was Saturday, 29 June.
“Thereafter the deactivation and decommissioning process will be initiated which involves making sure that all cheque participant members in Namclear are removed from the payment applications followed by the shutting down of the cheque payment stream completely,” the sattement read.
According to the statement the move to phase out cheques by the banking industry is a decision that is supported with the intention not to inconvenience the public but to minimize the risks, such as fraud, and in due consideration of the inefficiencies and costs associated with cheques as a payment instrument.
“In line with our National Payment System (NPS) vision 2020 as well as national strategies, we are working towards achieving an internationally reputable NPS,” said Barbara Dreyer from the Bank of Namibia.
Dreyer said the central bank will continue to create a strong and enabling legal framework to ensure a modernized payment system while ensuring a safe and secure NPS.