“PoS terminals are no longer the most efficient channel for financial services” -- CBN

·
January 10, 2019
·
2 min read

Findings of the review of the National Financial Inclusion Strategy (NFIS) have revealed that elements of the strategy such as point of sale (PoS) terminals are no longer the appropriate or most efficient channel for the distribution of financial services.

The Central Bank of Nigeria (CBN) in the revised NFIS (PDF) attributes the claim to the advances in technology.

The apex bank had conducted a 9-month review of the strategy which looked into past approaches as well as lessons learnt so far while also consulting concerned stakeholders from the public and private sectors, and national and international development partners.

The review of the strategy revealed that the nation has made significant progress to implement the NFIS as stakeholders regarded financial inclusion as a tool for national development.

Advertisement

Another revelation from the review is that regulations and policies like fixed fees for certain transactions are limiting the range and variation of business models that can be deployed.


Suggested Read: Payment Service Banking will flop; 2019 financial prediction by an expert


This in a way has a correlation with one of the 2019 predictions for the payment space by Open Banking Nigeria Trustee, Adedeji Olowe.

Olowe had in December 2018 predicted that CBN will instruct banks to reduce transfer chargers while also making transfer of ₦1,000 and below charge-free.

The review also pointed out that culture and religious factors are slowing down financial inclusion drive in the northern parts of the country.

Don't miss out on Africa's financial revolution
Keep up with the rapid pace of innovation in Africa's fintech landscape with Fintech Today. Designed for quick consumption, our exclusive newsletter, trusted by over 1,000 industry leaders, delivers the latest insights, trends, and breakthroughs right to your inbox.
Fintech Today

Give it a try, you can unsubscribe anytime. Privacy Policy.

Apparently, innovative models that have proven to increase access to financial services in other countries are yet to take significant root in Nigeria due to restrictive policies and regulations.

READ MORE   Where's iROKOtv going?

And lack of understanding of the workings of agent banking, as well as the opportunities for stakeholders, is affecting the pace of its adoption.

Mobile & African Tech Enthusiast │ Data Analyst │ Music
Mobile & African Tech Enthusiast │ Data Analyst │ Music
Subscribe To Techpoint Digest
Join thousands of subscribers to receive our fun week-daily 5-minute roundup of happenings in African and global tech, directly in your inbox, hours before everyone else.
This is A daily 5-minute roundup of happenings in African and global tech, sent directly to your email inbox, between 5 a.m. and 7 a.m (WAT) every week day! 
Digest Subscription

Give it a try, you can unsubscribe anytime. Privacy Policy.

Mobile & African Tech Enthusiast │ Data Analyst │ Music
Other Stories
43b, Emina Cres, Allen, Ikeja.

 Techpremier Media Limited. All rights reserved
magnifier