Firms Join Hands for Cheque Truncation Solution

Proactive Technologies Limited and Sybrin Systems (Pty) Limited have inked a partnership agreement that will led to the deployment of Sybrin Automated Cheque Truncation Solution to Nigerian banks.

Cheque truncation implies that banks will no longer allow physical movement of cheques to the Clearing House but will be replaced   with data capture of the instrument and corresponding electronic transmission to the paying bank through the clearing house.

This is expected to reduce the clearing cycle from three to two days to enhance accelerated cash flows.

Mr. Daniel Parreira, Sales manager for Nigeria and Africa, Sybrin System,  said the system would also help banks in terms of cost-saving, efficiency-enhancing solutions to Nigerian banks.

Parreira explained: “Nigeria is a very strategic market for us. We provide payment solutions that would benefit the industry as whole. Not only do we provide cheque truncation solutions, we also provide mobile payment solutions, internet banking solutions, document management solutions, information management and business management solution. We have identified Nigeria as the market for us to push our solutions.”

According to him, in the last 20 year, Sybrin had established itself as a leading software technology company in the provision of automated cheque truncation and other payment solutions amongst Africa’s leading banks, clearing houses and corporations.

Parreira listed some of his firm’s clients to include, Barclays Bank; Bankserv (South African Clearing House); Electronic Cheque Clearing House (ECCH), Malawi; Zambia Electronic Clearing House (ZECHL) and Kenya Bankers Association ACH (KBA).

He disclosed that the product would be officially launched in Lagos on January 28th.

He listed First Bank of Nigeria Plc, Skye Bank Plc, United Bank for Africa Plc, and a few others as leading the quest for true decentralised truncation.

Roland Obe, general manager, Proactive Technologies, said the cheque truncation policy would aid effective transmission of the CBN’s monetary policy.

Obe said that the two firms were at different levels of discussion ranging from negotiation to implementation with several financial institutions to deliver world-class imaging and truncation solutions.

“Cheque truncation is very new in Nigeria, but not new in other places in the world. But basically, Nigeria is going we are catching up by introducing cheque truncation. That has attracted several global solution providers.

“Sybrin has solutions they provide for the banking and financial services industry. The CBN plan to start cheque truncation attracted them to Nigeria. The beautiful thing about Sybrin is that over the years, they have become the cheque truncation provider of choice to several large banks across Africa and beyond,” Obe added.