9Mobile Boss Says CBN, NCC Pact Is Key For Financial Inclusion
Chief Executive Officer, 9mobile, Allen Sinfield has sought collaboration between the Central Bank of Nigeria (CBN) and the Nigeria Communication Commission (NCC) so as to enhance financial inclusion in the country.
Sinfield, who spoke at a Virtual Economic Summit organized by Ecobank and Vanguard Newspapers., entitled, “Mobile Payment innovation and Closing the Digital Financial Inclusion Gap, Post COVID-19”, also said the PSB licenses granted by the apex bank to 9mobile and two other companies will promote financial inclusion.
He highlighted the need for comprehensive alignment of policies and regulatory framework to be able to achieve greater success from both the CBN and also the NCC noting that “This is a platform to providing stakeholders in the financial sector an opportunity on knowledge sharing for Fintech, telecoms and a wider economy. Financial inclusion has remained a critical goal in Nigeria because of its importance to the development of Nigeria.
“Talking to the gap facing financial inclusion in Nigeria and how the ongoing pandemic is not only affecting everyone but has brought about new thinking in the continent’s payment. How Mobile Payment innovation is stepping o in to address the financial inclusion gap, along with the imperative of public-private partnership gap in technology investment and mobile connectivity growth.
According to Sinfield, most Nigerians still don’t have access to financial services.
“In terms of Nigeria financial inclusion gap, despite the hope that it offers for economic development, especially in reducing poverty and creating wealth, most Nigerian adults are either unbanked or under-banked. And Finance is excluded as a consequence and this is despite the laudable goals of the Central Bank of Nigeria on the 2012 launch of the financial inclusion strategy.”
He disclosed that at least 56 per cent of Nigerians under the banking age are not banked.
“Just for general awareness, as at September 2020, Nigeria inter-bank settlement system disclosed that 43.6 million adults have the bank verifications numbers. And data from the world population revealed that Nigeria adults population is at 100 million to be eligible for banking services. And when you take these two numbers away from each other, that means 56 per cent of Nigerians are unbanked. This is quite a startling number of exclusion. And this is a major goal of the CBN around financial inclusion, which in effect means a huge chunk of Nigerians are currently underserved.
“It is also worthy of note that the Central Bank of Nigeria has collaborated with other key stakeholders to achieve 20 per cent exclusion rate by 2020 in the financial inclusion strategy. Primary tools driving this strategy include agent banking, financial literacy, consumer protection
, linkage banking and the implementation of MSN.
“The CBN has introduced the frameworks for banking and know your customer requirements which are wonderful steps in non – money operation. The CBN has also tried in bridging the gender gap by introducing products to drive the underlying gender gaps through a robust system of empowerment and education.
“9mobile is also working hard to achieve the initiatives that we undertake. Top collaboration is needed to promote financial viability in achieving financial inclusion. In this regard, mobile payment SYSTEM banking, PSB is vital. Recent innovations by the Central Bank is licensing three Fintechs, one of which is to 9mobile. The CBN should be applauded for taking this bold initiative in issuing these licenses in financial inclusion goals.
“The PSB license allows telecom to operate savings accounts from businesses and individuals. PDP can also make cross border remittances, services through various channels within Nigeria, prepaid cards and electronic wallets.
I am pleased to say that 9mobile payment service recently launched on the 23rd of November has none PSBs. We expect this to drive financial inclusion. As regards mobile payment solutions, without the PSB license, 9mobile was already driving financial inclusion through products like quick money, 9plus as well as Wemarket with GT bank.”
Comments are closed.