Nigerian Communications Commission. (NCC) says it’s committed to stimulating the development and growth of Fintech sector in Nigeria.

Dr. Aminu Maida, Executive Vice Chairman of NCC, stated this while delivering a keynote address at the 2023 NITRA Financial Technology (Fintech) Forum with the theme “Harnessing Nigeria’s Fintech Potentials: Challenges and Opportunities” held on Thursday, October 26, 2023 at CitiHeight Hotel, Ikeja, Lagos,

Dr. Maida who was represented at the event by Mr. Henry Ojiokpota, NCC’s Lagos Zonal Controller, said that the commission will continue to support the Fintech sector in hamessing its enormous potentials as well as overcoming the challenges identified.

“This can be achieved through adequate provision of secure infrastructure and USSD channels that enable delivery of Digital Financial Services delivery in efficient ways.

“The NCC is also keen on maintaining minimum standards Quality of Service (QOS), for an uninterrupted network that will boost the sector. In support of this objective, the Commission has executed the Memorandum of Understanding with CBN on driving payment systems and financial inclusion, which is in line with the Nigeria Payments System Vision 2025.

“Furthermore, the Commission is playing an important role in harnessing the potentials of Fintech through maximum support for Fintech policies, enforcing regulations, and strengthening collaborations with relevant authorities such as the CBN and other stakeholders.

“Beyond this, the NCC is also promoting incubation and sound practices of Fintech firms and highly secured platforms to further enhance the development of the Fintech ecosystem as well as the digital economy space in general.

“These measures would ultimately enable the attainment of the objectives of the Nigerian Startup Bill, particularly in the Financial Services sector, and maximize the benefits of Fintech while mitigating the risks involved, NCC EVC explained.

Maida also noted the significant roles Fintech sector has been playing in boosting financial inclusion initiative, job creation, among others.

In his words: “Fintech comes with a lot of business opportunities in terms of innovation, job creation and investment. Therefore, Fintech has the potential to deepen the existing payment and financial system infrastructure to reach unserved and underserved areas and further stimulate economic growth.

“Fintech applications such as robo-advisors, payment apps, peer-to-peer (P2P) lending apps, investment apps, and crypto apps, among others, create business opportunities f0f individuals. With the youth population accounting for an estimated 70per cent of Nigeria’s population, the digitally savvy, young, and middle-aged individuals adopting these Fintech applications for socioeconomic gains will add value to the economy. Recent industry statistics has shown that active subscriptions across mobile networks in Nigeria rose to 220.7 million in August 2023 (NCC).

“Similarly, the increasing rate of smartphone penetration, internet access, and focused regulatory drive have continued to create a favourable atmosphere for Fintech to thrive. Furthermore, greater accessibility to customer, convenience, and low-cost access to short-term loans will further deepen the acceptability of Fintech products and services. Records have shown that the Fintech sector has benefitted a lot from external investment, amounting to over US$I billion investment since 2018.”

Earlier in his welcome address, Mr. Chike Onwuegbuchi, the National Chairman of the Nigeria Information Technology Reporters’ Association (NITRA), noted that Financial Technology (Fintech) has become perhaps the most exciting sector in the ICT industry, and in Nigeria as a whole.

“The Fintech sector is seen as the engine of financial dealings, economic growth and transactional unification, and is touted to present and aid various other sectors from the grassroots to international business/trade.

“In spite of this significant relevance of this sub-sector, Nigeria saw a slowdown in Fintech funding in the past few years. According to Partech Africa’s tech Venture Capital Report, Nigeria recorded $798 million in 2022 from $1.3 billion recorded in 2021,” NITRA Chairman noted.