Over the past ten years, Nigeria’s financial sector has undergone a remarkable evolution, largely fueled by the rise of digital banking and cutting-edge innovations. In a concerted effort to extend banking services to the unbanked population, Nigerian banks, fintech companies, and the Central Bank of Nigeria (CBN) have been actively working to maintain sector stability and foster growth.
During the Ibadan Tech Expo 2025, held at the International Conference Centre, University of Ibadan, industry specialists emphasized the crucial role digital banking has played in enhancing financial inclusion across Nigeria. They highlighted how banks and fintech firms have harnessed financial technology to ensure that no one is left behind in this transformative wave.
In a panel discussion titled “The Future of Digital Banking: Innovation, Inclusion and Intelligent Finance”, Olawale Omotosho, Moniepoint‘s Director of Product Management, described technology as more than just a tool-it is a comprehensive solution. He pointed out that digital banking now enables seamless transfers and withdrawals from virtually any location.
“One of the key advantages is the ability to bank directly from your phone. Even without a smartphone, you can access services via USSD codes. You can simply visit a POS agent nearby without the need to go to a physical bank branch,” he explained.
Olawale further emphasized that rural and remote communities remain a primary focus for financial inclusion efforts.
“Financial services now extend beyond simple payments. Access to credit and loans is increasingly available. When you travel to remote parts of the country, you’ll notice Moniepoint’s blue branding and other POS terminals prominently serving these areas,” he added.
Experts also noted that Nigeria’s financial ecosystem is aligning with global advancements.
Olumide Adaramoye, Head of CRM at Moniepoint, supported this view by highlighting the progress in instant payment systems. He remarked that Nigerians have grown accustomed to rapid transaction processing, a trend driven by fintech innovations and a strong focus on customer experience.
“Nigerian banks are arguably ahead of many other regions in terms of technological adoption. While there is still room for improvement, the sector is quite advanced,” he noted.
Olumide also praised the remarkable achievements of fintech companies across Nigeria and Africa, especially given their large user bases compared to global peers. He cited Kenya’s M-Pesa as an example, which processes millions of transactions daily with a 98% success rate.
Also Read: How CBN’s Open Banking system will impact Nigerian fintechs: All you need to know.
Digital Banking: Harmonizing Innovation with Regulatory Oversight
While digital banking continues to revolutionize Nigeria’s financial landscape, establishing robust security measures and fostering trust remain paramount. Banks and fintech firms must prioritize safeguarding their platforms against cyber threats and minimize transaction failures or fund discrepancies.
In response, the CBN has introduced two updated regulatory frameworks aimed at standardizing the financial market. The first, Guidelines for the Operators of Agent Banking in Nigeria, addresses the surge in Point of Sale (PoS) operators following the COVID-19 pandemic by setting clear operational standards.
The second, Guidelines for the Operations of Electronic Payment Channels in Nigeria, establishes minimum requirements for ATM deployment, maintenance, and operation, aiming to enhance customer protection and align with international best practices. These initiatives underscore the CBN’s commitment to transparency, accountability, and responsible governance within the sector.
Commenting on these regulations, Olumide explained that the goal is to ensure all stakeholders operate within a fair and secure environment, safeguarding customers’ funds and promoting stability.
“While banks strive to deliver essential services, regulators enforce compliance to maintain order. The CBN’s efforts ensure that banks and fintechs coexist harmoniously within the same ecosystem,” he said.
He further noted that these regulations help level the playing field, preventing any single bank from dominating the market to the detriment of others.
As banks and fintechs continue to innovate, the CBN’s regulatory framework aims to create a conducive environment that encourages ongoing creativity and the introduction of new financial solutions.