The Executive Vice Chairman and Chief Executive Officer (EVC/CEO) of the Nigeria Communications Commission (NCC), Aminu Maida, emphasized the crucial role of the Financial Technology (FinTech) industry in promoting financial inclusion for underserved communities in Nigeria.
Maida, speaking at the 2023 edition of the annual Nigeria Information Technology Reporters Association (NITRA) FinTech Forum in Lagos, highlighted the theme of the event, “Harnessing Nigeria’s Fintech Potential: Challenges and Opportunities.” He emphasized the need for a discourse on the financial industry, given the rapid growth of digital financial services in the country.
Fintech has revolutionized Nigeria’s financial ecosystem, disrupting the conventional financial system by leveraging technology to enhance mobile banking, borrowing, investment, and cryptocurrency services. This advancement has not only created business opportunities but has also stimulated innovation, job creation, and overall economic growth.
As an example, Maida mentioned the active subscriptions across mobile networks in Nigeria, which reached 220.7 million in August 2023. This statistic demonstrates the immense potential for the Nigerian FinTech ecosystem to provide a wide range of financial services to telecom subscribers.
The NCC remains committed to expanding and enhancing telecommunications infrastructure to facilitate robust FinTech services. By leveraging the high mobile phone penetration in Nigeria, the goal is to bridge the gap in financial services availability for rural communities and underserved segments of the population.
Maida stated, “Fintech has the potential to deepen the existing payment and financial system infrastructure, reaching unserved and underserved areas and further stimulating economic growth.”
Aligned with the Nigerian National Broadband Plan 2020-2025, the Commission is implementing strategies to achieve 70% broadband penetration by 2025. These initiatives have significant implications for the FinTech industry, which can contribute to Nigeria’s financial inclusion and overall digital economy objectives.
The NCC is dedicated to supporting the FinTech industry and addressing challenges by improving the provision of secure infrastructure that enables the efficient delivery of digital financial services. Maintaining minimum standards in Quality of Service (QOS) is also a priority, ensuring uninterrupted connectivity and enhancing the sector’s contribution to the economy.
Furthermore, the Commission has implemented a Memorandum of Understanding with the Central Bank of Nigeria (CBN) to boost payment systems and financial inclusion, in alignment with the Nigeria Payments System Vision 2025. The NCC will continue to play a crucial role in harnessing the potential of FinTech through support for policies, regulatory enforcement, and strengthened collaborations with relevant authorities.
