An information technology services expert has attributed the recent disruptions in banking services in Nigeria to policy modifications.
Isaiah Dominic Etuk, the Chief Digital Officer of Capital Express Assurance, disclosed that banks constantly adapt their systems to suit the Central Bank of Nigeria’s constant policy adjustments.
“So many times, these are the things that actually influence the upgrades,” he said on Tuesday on Nigeria Info 99.3 FM Lagos’ Morning Crossfire.
Etuk said the banking industry is “quite huge,” with a highly intricate technology framework.
He disclosed that some banks still maintain old systems, presenting challenges when upgrading to new regulatory requirements.
He did not downplay the role of individual banks’ constant updates that can lead to various potential outcomes but attributed the recent disruptions to adaption to regulatory adjustments.
“Sometimes there are quick fixes on common issues they (banks) just observed. Maybe there are patches they want to do, some of those are quick.
“The time they will spend on the upgrade is dependent on the kind of upgrade they want to do.”
In addition, he stated that banks conduct cost analyses and sometimes prefer shutting down services over undergoing half-hazard upgrades, fearing data breaches, privacy issues, and future hacking.
Nigerian bank customers have had to deal with service disruptions in recent months, the latest being last week’s disruptions in the electronic services of Zenith Bank, one of Nigeria’s top five lenders.
The bank attributed the weeklong upset to “IT maintenance” without providing specifics.
Industry watchers say the bank migrated its system from Phoenix software to Oracle’s Flexcube.
In September, Sterling Bank’s services were unstable for days as the lender moved its systems from T24 to SEABaaS.
GTBank customers also suffered disruptions in September when the bank migrated from Basis to Finacle.
