Technology has not only simplified living for Nigerians, it has created jobs, opened up the financial sector and indeed the country for investments opportunity, especially through Financial Technology. The viability of the sector was recently brought to the picture with a valuation of investment opportunities worth $1bn since 2015.
Giving out these figures at a recently held 31st edition of the Seminar for Finance Correspondents & Business Editors held in Enugu, Mr. Godwin Emefiele; Governor, the Central Bank of Nigeria duly represented by the Deputy CBN Governor, Corporate Services, Mr. Edward L. Adamu, has it that the industry attracted the investment of about $500 million via firms run by Nigerian founders, between 2015 and 2020.
Buttressing the CBN’s governor emphasis, Mr. Akeem Olujinmi Lawal, the Divisional Chief Executive Officer, Payments Processing Division, Interswitch Group, disclosed that an additional $500 million had crept in between 2020 to date, raising the figures to $1 billion.
The rationale for the massive stride gained by Nigerian founders in the Fintech market is based on the high level of confidence in Nigeria’s payment system.
The Fintech’s resilience and potentials
The Fintech industry in Nigeria as deduced from the report had proven its resilience especially with the fact that only 64 percent of adult Nigerians have access to financial services, leaving out 36 percent of the population.
Also, with the intention behind CBN’s e-Naira to foster greater inclusion using digital channels, supporting cross-border payments for businesses and firms as well as providing a reliable channel for remittances of inflows into the country; the fintech industry may be on its way to attracting more investment potentials.
The sector also continues to survive internet fraud, rising risks, and thefts despite measures to stop the same.
The seminar’s report,
“Improving access to finance for individuals and businesses through digital channels can help to improve financial inclusion, lower the cost of transactions, and increase the flow of credit to businesses.”
“The Central Bank of Nigeria decided to introduce a central bank digital currency, the eNaira, which would help in attaining our goals of fostering greater inclusion using digital channels, supporting cross border payments for businesses and firms as well as providing a reliable channel for remittances inflows into the country,” he said.
“with the deployment of the eNaira, Nigerians in remote areas can conduct financial activities using their digital as well as features on phone devices.
“Partnering with our stakeholders in the financial industry, I believe that more Nigerians will be financially included.”