The National Payment System Bill which was passed yesterday paves the way for reforms being introduced by the Reserve Bank.

It will modernize the nation’s financial system.

The Bill has been designed to ensure Fiji’s banking, payments and securities systems effectively respond to the ongoing evolution in modern payment practices.

Local Government Minister, Premila Kumar says the Bill will enable safe, reliable and seamless digital transactions.

” The development of an efficient NPS is crucial for Fiji to develop a “smart economy” and promote real time payments 24/7 and 365 days. This would not only enhance economic activity but will also help achieve broader societal objectives such as improving access to financial services to all Fijian citizens.”

Kumar says consumers also need to know there are rules to protect them when error or fraud occurs in a payment system.

The International Finance Corporation while welcoming the passing of the Bill says it will support economic activity and boost financial inclusion.

The Act allows RBF to reform the payment systems, which include enabling real-time transfer of funds.

The reforms will also see the RBF introduce critical payments, clearing and securities infrastructure and enable the development of innovative digital payment services with due regard for risk mitigation and consumer protection.