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Access to Finance Requisite for Economic Growth – EFInA

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Enhancing Financial Innovation and Access (EFInA) in its finding has submitted that given significant financial sector reforms and private sector innovations, access to finance is poised for growth in Nigeria.
The report provides a diagnostic of access to finance and identifies key issues for microfinance, branchless banking and SME finance.
Microfinance
The Microfinance Policy, Regulatory and Supervisory Framework for Nigeria developed by the CBN in 2005 initiated an important turning point in the industry with the creation of the Microfinance Bank (MFB) as an institutional vehicle for privately owned, deposit-taking microfinance institutions (MFIs). Prior to this, a few notable Non Governmental Organisations (NGOs) were established that have grown to provide microfinance in a sustainable manner according to international standards of good practice. However, until recently the majority of institutions have been smaller NGOs, community banks, cooperatives, and non-bank financial institutions with uneven management capacity, low outreach to clients, and challenges to becoming profitable.
The framework is designed to unite the best of the NGO credit organizations, the privately owned community banks and the new MFI initiatives under a common legal, regulatory and supervisory regime. The microfinance framework catalyzed two driving forces in the microfinance industry at an extraordinary pace and scale. First is the immediate investment of capital by large number of Nigerian and international investors in newly created MFBs. The second force is the new regulation and supervision framework for this emerging industry. The rate of growth in the microfinance industry, measured by number of institutions, capitalization, or portfolio growth, is among the fastest of any microfinance industry globally at similar early stages of development.
As part of the microfinance policy framework, the CBN in collaboration with the bankers Committee created the Micro Credit Fund (MCR) to partner with state governments to channel credit to the micro enterprise sector. The CBN reports that the balance of funds available to the MCF at the end of 2007 was around N20 billion. Specific lending policies for the MCF were not shared with the diagnostic team. In itself, the MCF reflects an emphasis on credit that is pervasive in Nigerian policy discussions around access to finance. If large volumes of wholesale funds are made available to the MFBs, they will have less interest in providing savings services and may become dependent on wholesale borrowing to fund growth.
Branchless Banking
The main payment instruments available in Nigeria include large-value credit transfers, cheques, retail electronic debit and credit transfers, and payment card systems, among others. Electronic purses (a form of stored value cards), internet-based banking along with mobile payment services. Fir the first seven months of 2009, ATM transactions represented nearly 91 percent of the value of all electronic fund transfers in Nigeria. For the first seven months of 2008, point of sale (POS) transactions represented over 4 percent of the value of all electronic fund transfers in Nigeria. The POS penetration rate represents a ratio of less than 50 POS terminals per 1million inhabitants. The CBN is in the process of drafting mobile payment guidelines to promote branchless banking. Discussions with members of the CBN’s Banking Operations Department indicates that there is a well developed understanding of the many legal domains implicated by a comprehensive branchless banking regulatory regime. These domains include the often complicated issues presented by the use of agents, Anti-money laundering/combating financing of terrorism (AML/CFT) and consumer protection. Given that effective branchless banking requires the cooperation of parties outside the control of the CBN, such as telecommunications service providers and consumer protection agencies, it is unclear how effective the mobile payments guidelines will be in practice. In addition, even parties under CBN supervision, such as private switch operators, appear to be resistant to CBN efforts at promoting interoperatability, a primary component of expanding access to finance. However, reports indicate that draft operational rules for interoperatability through a national switch are awaiting CBN approval.
SME Finance
SME finance is constrained by lack of data, regulations and infrastructure for collateral and insufficient credit information. Policy making for the sector is severely constrained by the lack of data that would allow a better understanding of the problems and performance of ongoing initiatives. Regulations require loans to be collateralized and limit the types of acceptable collateral. At the same time the laws relating to security over movables (i.e., equipment) are antiquated, fragmented and do not offer Nigerian businesses an effective means of raising capital. The current credit information system does not address the needs of the SME sector. However, with quick approval of well designed regulations, a competitive and open credit information industry where private credit bureaus working alongside the Credit Risk Management System (CRMS) can quickly begin to cover the population.
With some exceptions, there are no real SME finance products. Banks and other authorities tend to treat SMEs as “small corporates” with no clear understanding of SME profiles. Globally, leasing is a widely-used service for SMEs, although the lack of a leasing law is constraining development of this sector in Nigeria. Finance companies have limited tools for credit risk assessment and lack of information and understanding of value chains that are important in the development of factoring services.  
Recommendations
Greater transparency of financial performance and market information and strengthening capacity at all levels.
Moving quickly on promoting financial infrastructure could help Nigeria’s financial sector modernize and significantly expand access to finance through the design of new laws, regulations and guidelines to upgrade the payment system, private credit registries and collateral registries.
Harmonize all AML/CFR regulations to permit clear operation of risk-based approach.
Enhancing consumer protection by facilitating consumer access to credit reports and requiring disclosure of “disputed” status.
The establishment of a consumer protection body dedicated to protecting consumers of all financial services, not just mobile payment services, given the growing diversity and complexity of the market.

 

 


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SSDC Warns Businesses against Cyber, Election-Related Risks

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Security Skills Development Company (SSDC) has released its 2026 Security Outlook, highlighting four major security challenges expected to shape Nigeria’s business and operating environment as the country moves closer to the 2027 general election.

SSDC Warns Businesses against Cyber, Election-Related Risks

The report, developed from a nationwide survey and expert contributions at the recently concluded Security Thought Leadership Roundtable, identifies internal security threats, protection of national assets, cyber risks and election-related instability as the most significant concerns facing organisations and institutions in the coming year.

According to SSDC, findings from the survey and stakeholder discussions reveal growing concern over the increasing complexity of security challenges and their potential impact on business continuity, economic stability and public confidence.

A substantial number of respondents identified internal threats within organisations as an emerging risk, pointing to the need for stronger corporate governance, workforce integrity measures and structured risk management systems.

Security experts at the roundtable noted that weaknesses in critical public infrastructure and national assets could have far-reaching consequences for the economy and national development if not adequately addressed.

The report also highlights cybercrime as a persistent and evolving threat to both public and private sector institutions.

Participants stressed the importance of strengthening cyber resilience through proactive monitoring, investment in technology-driven safeguards and improved security awareness.

Another key concern raised in the outlook is what SSDC described as the “2027 Election Shadow.” Many respondents expressed concerns about the possibility of heightened political tension as the election season approaches, warning that uncertainty and security disruptions could affect business operations, investment decisions and overall economic confidence.

Speaking on the report’s findings, Mike Igbodipe, managing director, SSDC, called for a more strategic approach to security management across both public and private sectors.

He said organisations must move beyond reactive security measures and integrate security considerations into their broader strategic planning and decision-making processes. He also advocated the development of a gold-standard, locally certified training programme for security professionals tailored to Nigeria’s unique security environment.

SSDC, a security training and consulting firm focused on advancing professional standards in Nigeria’s security sector and strengthening industrial resilience through capacity building and strategic expertise, said the Security Outlook forms part of its ongoing thought leadership initiative aimed at promoting informed dialogue on national security, institutional resilience and risk management.

The company reaffirmed its commitment to supporting stakeholders through research, training and strategic advisory services designed to improve preparedness and response to emerging security challenges.

 

 

 


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Moniepoint DreamDevs Bootcamp Graduates Second Cohort to Strengthen Homegrown Talent Pipeline

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L-r: Co-Founder/Chief Operating Officer, Semicolon, Ashley Immanuel; Employer Brand Manager, Moniepoint, Celestina Dike; Head of Engineering, Moniepoint, John Ojetunde and Head, Talent Acquisition, Moniepoint, Perpetual Ibe at the Moniepoint DreamDevs Demo Day presentation which held in Lagos.
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Moniepoint Inc., Africa’s leading digital financial services provider, has officially graduated the second cohort of its flagship DreamDevs Bootcamp, marking a significant milestone in the company’s ongoing effort to build world-class engineering talent from the ground up.

The graduation was celebrated at a Demo Day event held in Lagos, themed “Training Done! Demo Up!”, where participants presented capstone projects built to real-world engineering standards.

The graduation comes at a crucial time for Africa’s tech ecosystem. Although Nigeria’s tech talent is growing, it isn’t sufficient, especially at the mid-to-senior engineering level, where demand far exceeds supply. By 2030, the global shortage of software developers could reach 85 million, leading to economic losses of $5.5 trillion. For a continent developing its digital infrastructure, this is critical. Moniepoint’s DreamDevs Bootcamp is a strategic response to these challenges.

The nine-week curriculum, created by Moniepoint’s Engineering Unit in partnership with Semicolon, covered Java Object-Oriented Programming, Data Structures and Algorithms, Software Testing, MySQL, Spring Boot APIs, System Design, Docker, Messaging Queues, Frontend UI, and Cloud Infrastructure. Participants received programme stipends and mentorship from experienced Moniepoint software engineers, gaining valuable exposure to the production environment of one of Africa’s fastest-growing fintech firms.

During the Demo Day presentation, the participants paired into 9 teams were excited to showcase how they have deployed knowledge and skills gained during the course of the bootcamp  into real and useful  solutions in real estate, hospital management, event management, food and agriculture.

Commenting, Felix Ike, Co-Founder and Chief Technology Officer of Moniepoint, said, “DreamDevs is a structural investment in Nigeria’s digital economy, not a recruitment exercise, not a pipeline built solely to serve Moniepoint’s hiring needs. That said, we are proud that some graduates from our first cohort are already active members of our engineering team, proof that when young African engineers are given the right training and the right environment, they can compete at the highest level”.

Felix added that “Engineering excellence is not a naturally occurring phenomenon. It is a curated and intentionally built process that requires the right systems, the right resources, and sufficient time to take hold. Building that process and making it accessible to the brightest young engineers on this continent is a responsibility we have chosen to own.

Africa’s digital economy is attracting significant global capital, yet the talent infrastructure required to sustain that growth remains underdeveloped. The DreamDevs Bootcamp and our other capacity-building initiatives across some of Nigeria’s public universities demonstrate Moniepoint’s commitment to this responsibility.

The initiative also aligns with Nigeria’s broader national agenda on technology skills development. Moniepoint serves as a key sponsor of the Federal Government’s 3 Million Technical Talent (3MTT) programme, which focuses on mass technical skills training across the country. While 3MTT addresses the scale challenge, DreamDevs provides depth, offering a specialised, end-to-end pathway from foundational training through to employment within Moniepoint’s complete development ecosystem.

As Nigerian fintechs deepen their infrastructure ambitions, the ability to grow engineering capacity that feeds these aspirations requires an urgent industry intervention, as Moniepoint is demonstrating to address Africa’s engineering talent challenge.


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NITDA, Benin’s Digital Agency Strengthen Ties on Digital Transformation

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The National Information Technology Development Agency (NITDA) and Agence des Systèmes d’Information et du Numérique (ASIN), the Information Systems and Digital Agency of the Republic of Benin, have moved to strengthen bilateral cooperation on digital transformation, digital public infrastructure, and innovation-driven governance.

The commitment was reaffirmed during a courtesy visit by the Beninese delegation to NITDA’s corporate headquarters in Abuja, where discussions centred on deepening bilateral cooperation, sharing best practices, and advancing digital development across the region.

Speaking during the engagement, the Director General of NITDA, Kashifu Inuwa, represented by the Director of Stakeholder Management and Partnerships, Dr. Aristotle Onumo, said regional collaboration remains critical to advancing Africa’s digital economy and building resilient digital ecosystems capable of supporting sustainable growth.

He noted that NITDA is committed to driving Nigeria’s digital transformation through the development of policies, standards, and strategic frameworks designed to modernise governance and improve service delivery across the public sector.

According to him, the agency has developed several foundational frameworks, including the Enterprise Governance Framework, Digital Transformation Framework, and Software Quality Assurance Framework, to guide Ministries, Departments, and Agencies (MDAs) in their digital transformation journeys.

“Our goal is to move government institutions beyond basic digitalisation to full digital transformation, and ultimately, to build an intelligent, data-driven government powered by emerging technologies such as artificial intelligence,” he said.

Inuwa also disclosed that since 2018, NITDA has reviewed over ₦1.5 trillion worth of government IT projects to ensure compliance, technical alignment, and value for money.

He said the intervention has helped the Federal Government save more than ₦300 billion by eliminating duplication, promoting shared services, and improving the success rate of digital projects across ministries, departments, and agencies.

On digital public infrastructure, he revealed that Nigeria has transitioned from fragmented agency-to-agency data exchanges to a more integrated and citizen-centred digital ecosystem through the Nigerian Data Exchange (NGDX) platform.

He explained that the platform provides a federated and centralised framework for seamless data exchange among government institutions while preserving the autonomy of individual information systems.

According to him, the proposed e-Government and Digital Economy Bill will provide the legal backing needed to strengthen the platform and institutionalise digital collaboration across government.

The DG further highlighted NITDA’s Strategic Roadmap and Action Plan (SRAP 2.0) 2024–2027, which aligns with the Federal Government’s Renewed Hope Agenda and focuses on critical areas such as digital literacy, research and development, cybersecurity, innovation, inclusive access, and strategic partnerships.

Earlier, the Head of International Partnerships at ASIN, Tildy Erlong, said the delegation’s visit followed a recent Smart Africa workshop in Abuja and was aimed at strengthening institutional ties and learning from Nigeria’s digital transformation experience.

She described ASIN as the operational agency under Benin Republic’s digital ministry, responsible for implementing strategic digital development projects across the country in collaboration with key institutions, including the national identity agency, ANIP, and the cybersecurity agency, CENIN.

Erlong highlighted Benin’s achievements in digital public infrastructure, noting that about 98 per cent of the country’s population—approximately 13.6 million citizens—has been enrolled on its digital identity platform.

She added that more than 60 government agencies and service institutions are connected through Benin’s XROAD interoperability platform, enabling the delivery of over 250 digital services to citizens.

According to her, Benin is also prioritising digital inclusion, open-source systems, and the deployment of artificial intelligence to improve service delivery in sectors such as healthcare, education, and justice.


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