E-Financial
Experts Identify Ways to Extend the Boundaries of Financial Inclusion Strategy
Experts at the Inclusive Finance Nigeria Conference and Awards [IFINCA] have identified the various ways the Central Bank of Nigeria [CBN] can extend the boundaries of financial inclusion strategy in order to realise its goal.
In a circular, the CBN had said it is not meeting any of the financial inclusion target agreed and contained in the 2012 Financial Inclusion Strategy.
IFINCA is a national policy platform on financial inclusion setup with the objective of enabling cross-pollination of best practices and breakthroughs, specifically to influence Nigeria’s financial inclusion strategy and campaign.
According to the CBN, Nigeria achieved 60.3 per cent in 2012. It declined to 58.4 per cent in 2016 against a target of 69.5 per cent, which translated to financial exclusion of about 41.6 per cent.
However, to ensure the CBN achieve its policy thrust, the analysts who spoke at IFINCA said it’s important to ensure that the under-banked and the unbanked are offered inclusive financial services.
In her keynote address at the event, Ronke Kuye, managing director/CEO of Shared Agent Network Expansion Facility [SANEF], identified the following major service areas that are required in order to deepen financial inclusion in the country.
These are the provision of sustainable job opportunities, stronger bank operation, reduction of inequality, creation of empowerment programmes, reduction of formal financial services and a boost in financial security and operation.
While addressing the theme of the event, which asked, is it time to reinvent and push the boundaries; she noted that for the financially excluded to be brought into the financial net, certain initiatives must be adopted.
Kuye informed that the CBN is making an effort to ensure that financial inclusion target is met by initiating the mobile money agents, SANEF and agency banking services. Through the initiatives, SANEF had rolled out 156,000 agents. To meet its target of 250,000 agents, SANEF is required to capture another 94,000 agents before the end of 2019.
The impediments that are slowing down the wheels of financial inclusion in Nigeria, according to her, include high cost of banking transaction, lack of attractive financial products, inadequate financial literacy programmes, poor customer service, inadequate infrastructure and cumbersome banking process.
To overcome these impediments, she explained that the industry stakeholders must close ranks and work together and create sustainable synergies that will promote financial inclusion.
“All the regulators and central service providers, agency banking such as SANEF and other developmental organization, super agents, fintech and telcos and the microfinance banks, state governments and the security agencies must work together in order to bring the Nigerians that are excluded into the financial ecosystem”, she said.
Mrs Titilola Shogaolu, Divisional CEO of Interswitch Financial Inclusion Service, while proffering on what’s still missing in financial inclusion in Nigeria, she said “there’s an existing gap despite various initiatives that have been deployed by relevant stakeholders”.
She therefore identified lack of identity card, which is needed for bank accounts opening as a barrier to digital financial inclusion. She said the following must be implemented to achieve financial inclusion in Nigeria.
These are maximum security, alignment and collaboration, provision of simple financial service, attractive benefits, building trust, financial literacy and creation of the multi-lingual channel.
Speaking on the yardsticks for measuring financial inclusion, Oluwadare Owolabi, managing director/CEO of Xpress Payments Solutions, said the results and goals of financial inclusion could only be measured through the provision of access to affordable financial service that meet people’s needs, secured financial services, the establishment of proper financial institutions that cater to the needs of the poor and the use of agency banking.
He identified “access indicator” – the number of bank branches, PoS devices, number of bank accounts and remittances, banking agents, loans and savings with the banks, level of literacy among others – as an important means to deepen financial inclusion and bring more Nigerians into the formal financial service.
Olaoluwa Awojoodu, managing director/CEO of E-Settlement and of Paycentre, in his presentation on the viability of agent banking networks stressed that the challenges facing financial inclusion must be pulled down before the CBN achieve its goals.
He listed these challenges as the unavailability of affordable banking services, threesome documentation and onboarding process, low literary level, non-presence of banks in a rural area and “negative view of banks as being overly complex”.
He said his team carried out a survey and realized that many local areas lack access to financial services, adding that 80 per cent of the banks in Nigeria are sited in Lagos while other states are suffering. “We need to tackle these barriers in order to promote financial inclusion for suitable economic development”.
Explaining how the banks can apply themselves to extend the boundaries of financial inclusion while speaking during the Future of Financial Inclusion panel sitting, the Managing Director and CEO of Precise Financial Systems, Dr Yele Okeremi noted that Nigerians are not interested in the banks but in banking services; as such, the banks must “reengineer their minds by deploying technological innovations that will make them lead the space”, he emphasized.
In similar vein, Nnaemeka Nwachukwu, Head, Executive Support and Corporate Strategy of Grooming Centre, delved into how technology is disrupting the financial inclusion space and redefining all sectors of the economy.
He said Grooming has completed the bank processor information to boost financial inclusion and that the motive is to work optimally with technology and address challenges facing financial inclusion.
“There are technological infrastructure deficiencies in the rural part of the country which we are working towards addressing by partnering with major stakeholders in the industry. We are also training some Nigerians on how to use some technology especially software to access data. But the industry needs to do more”, he noted.
Central Bank of Nigeria (CBN) has warned non-interest financial institutions against governance and compliance risks capable of undermining public confidence and financial stability in the country’s growing Islamic finance sector.
Interest-free banks, often known as non-interest or Islamic banks, operate without charging or paying traditional interest (Riba).
The warning was contained in a press statement issued by the apex bank following the 2nd Annual Interactive Session between the CBN Financial Regulation Advisory Council of Experts and the Advisory Committees of Experts of Non-Interest Financial Institutions held at the CBN Auditorium in Abuja.
Speaking through Dr Rita Sike, director of the Financial Policy and Regulation Department, Philip Ikeazor, deputy governor, Financial System Stability, said the rapid expansion of the industry had increased exposure to operational and regulatory vulnerabilities.
The statement read, “The Deputy Governor, however, observed that as the industry grows in size, sophistication, and interconnectedness, it faces unique risks, particularly non-compliance risk, governance challenges, operational vulnerabilities, and emerging technological risks.
“He warned that such risks, if not properly managed, could undermine public confidence, financial stability, and the overall credibility of the non-interest finance ecosystem.”
According to the CBN, the engagement was part of ongoing efforts to strengthen Shariah governance, improve regulatory clarity, and reinforce risk management standards within the non-interest financial services industry.
The apex bank noted that non-interest financial institutions continued to play an increasingly important role in Nigeria’s financial system by providing ethical and Shariah-compliant alternatives to conventional banking.
It stated that the institutions were also contributing to financial inclusion, real sector financing, micro, small, and medium enterprises development, and shared prosperity.
The CBN further explained that the establishment of FRACE and the mandatory constitution of ACEs across all non-interest financial institutions were designed to institutionalise a harmonised governance framework for the sector.
According to the statement, sustained interaction between FRACE and ACEs remained critical to ensuring that regulatory expectations were properly understood and consistently implemented across the industry.
“The objectives of today’s session include fostering the institutionalisation and effective operation of a robust Shariah governance system within Non-Interest Financial Institutions, and providing a structured platform for dialogue, knowledge-sharing, and collaboration,” Ikeazor was quoted in the statement.
In his remarks, Prof Bashir Umar, deputy chairman of FRACE, said the interactive session was aimed at strengthening governance within the non-interest finance sub-sector and promoting constructive engagement between regulators and industry advisory committees.
He also commended the management of the CBN for reviving the session, which was first introduced in 2014.
Earlier in her welcome remarks, Sike reaffirmed the apex bank’s commitment to building a strong and well-governed non-interest financial services industry.
She noted that the growing diversity of products and delivery channels, particularly the emergence of Islamic fintech, had increased the need for stronger regulatory oversight and continuous engagement among industry stakeholders.
“The growing diversity of products, institutions, and delivery channels, particularly with the emergence of Islamic fintech, underscores the need for continuous dialogue, sound regulatory oversight, and robust advisory input from scholars and practitioners,” she said.
The session featured technical presentations on Shariah non-compliance risks in non-interest banks and the role of Islamic fintech in driving financial inclusion.
Participants at the event included members of FRACE, chairmen and members of various ACEs, managing directors of non-interest banks, senior CBN officials, and representatives of the Bank of Industry and the Securities and Exchange Commission.
Federal government is in discussions with the World Bank over a proposed $1.25 billion loan facility aimed at supporting economic reforms, job creation, and competitiveness programmes across Nigeria.
A World Bank document titled Nigeria Actions for Investment and Jobs Acceleration showed the facility has moved beyond the concept and appraisal stages and is now scheduled for a decision meeting ahead of a planned Board presentation on June 26, 2026.
If approved, the loan would become Nigeria’s second-largest World Bank financing package after the $1.5 billion Reforms for Economic Stabilisation to Enable Transformation Development Policy Financing approved in June 2024.
The document listed the Federal Republic of Nigeria as the borrower, while the Federal Ministry of Finance will serve as the implementing agency.
It explained that the project is currently at the decision-meeting stage of the World Bank’s project cycle, where final appraisal documents undergo internal review before submission to the Board of Executive Directors for approval.
At this stage, the institution confirms policy actions, financing terms, and reform commitments already agreed in principle between Nigeria and World Bank teams.
It also said the proposed facility will support government efforts to expand access to finance, digital services, and electricity, while strengthening competitiveness through reforms in taxation, trade, and agriculture.
World Bank says loan will support finance, digital access, and electricity reforms
Between June 2023 and May 2026, the World Bank approved about $9.35 billion in loans and credits for Nigeria across key sectors including power, education, healthcare, agriculture, renewable energy, social protection, and MSME financing.
Major approvals during the period include the $2.25 billion RESET and ARMOR reform financing in June 2024, $1.57 billion for HOPE and SPIN programmes in September 2024, and $1.08 billion for education and resilience projects approved in March 2025.
Ecobank Group, a pan-African banking group yesterday announced a landmark $3 billion trade finance commitment over the next 3 years to accelerate intra-African global trade.
The announcement was made during the Africa-Forward Summit in Nairobi, within the framework of the bank’s active engagement in the Africa-France Impact Coalition (AFIC) led under the patronage of H.E. President Macron of France and H.E. President Ruto of Kenya.
This ambitious commitment, specifically designed to build integrated value chains and foster shared economic sovereignty reinforces the group’s unique position as the premier financial gateway connecting Africa and the world.
Building on a proven track record across 34 African markets, Ecobank Group will partner with Development Finance Institutions (DFIs), including Proparco, to deploy this $3 billion commitment.
By expanding access to competitive trade finance, the funds will directly fuel the core engines of Africa’s real economy: agribusiness, manufacturing, and general commerce.
This strategic deployment is designed to accelerate the structural transformation of the continent, anchoring future growth in sustainable industrialization, resilient infrastructure, and human capital.
By strengthening liquidity, providing guarantees, and deploying specialized trade instruments, Ecobank will help African businesses secure essential inputs, access new markets, and build resilience within increasingly complex global supply chains.
Chief Executive Officer 9f Ecobank Group, Jeremy Awori said: “The Africa-France Impact Coalition marks a fundamental shift toward shared sovereignty and integrated supply chains, and we are proud to drive this vision.
“Africa is rising and trading. By leveraging our Paris banking hub and partnerships with DFIs like Proparco, we are connecting African opportunities with global capital. This initiative is more than a financial commitment, it is a catalyst for trade, investment and talent – the pillars of Africa’s next decade”.
This $3 billion commitment signals strong confidence in Africa’s capacity to industrialize, scale production, and participate as a highly competitive partner in global trade, strongly aligning with the moment of intra-Africa trade acceleration.
Strategy gateway through Paris & expected outcomes
Central to this pledge is EBISA, Ecobank’s Paris-based hub, which serves as the critical gateway connecting African enterprises with international markets. EBISA will anchor the cross-border flows that drive both investment and trade, facilitating the “Made in Africa” and “Co-Made in Africa and France” ecosystems.
By focusing not just on capital, but on the entrepreneurs, small business owners, youth innovators, and women-led enterprises that drive the continent forward, Ecobank will deliver measurable impact across five priority dimensions:
Support sustainable development across Ecobank’s expansive footprint; Enhance market access for SMEs and large corporate entities;Deepen integration into regional and global value chains; Empower women and youth-led businesses; Strengthen economic resilience and long-term value creation.
Through strategic collaborations spanning trade, investment and talent, Ecobank Group and its partners in the AFIC are moving the continent forward with confidence, purpose, and impact.
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