Technology-enabled banking, key to Nigeria’s $1 trillion GDP target, says FairMoney boss

Henry Obiekea, managing director of FairMoney Microfinance Bank, on Tuesday, said that technology-enabled banking helped to push formal financial inclusion to over 64 per cent in 2025.
Mr Obiekea said in a statement in Lagos that mobile-first and digitally delivered financial services are bridging the financial inclusion gap.
“By extending regulated banking beyond physical locations into everyday devices, licensed microfinance banks and other regulated institutions are bringing millions of Nigerians into the formal economy.
“This approach helped push formal financial inclusion to over 64 percent in 2025, ensuring the last mile is no longer excluded.
“Commercial banks remain the backbone of the system, providing balance sheet strength, regulatory depth, and long-term capital essential for national development. Yet in a country of over 220 million people, physical access alone cannot deliver financial inclusion at scale,” he said.
Mr Obiekea said that Nigeria was at a defining moment in 2026, after several years of bold macroeconomic adjustments, including foreign exchange unification and structural reforms. He said that the country was moving from stabilisation into expansion, with the Central Bank of Nigeria restoring confidence in the Naira and foreign reserves reaching a five-year high of over $45 billion.
Mr Obiekea said, “The next phase of growth will be shaped by how effectively Nigerians can participate in the formal financial system.
“Achieving the federal government’s target of a $1 trillion gross domestic product by 2036 requires efficient capital flow. In the first quarter of 2025 alone, Nigeria recorded over N295 trillion in electronic payment transactions.
“Faster, secure financial infrastructure supports modern commerce, strengthens trade, and improves overall economic productivity.”
Mr Obiekea noted that micro, small, and medium-scale enterprises, which contribute nearly 48 per cent of GDP, are central to GDP growth. He said that technology-driven banking models are helping to close long-standing credit gaps.
Mr Obiekea explained that, by responsibly using alternative data to assess risk, small-ticket working capital loans provided the “pocket capital” businesses needed to grow. He said that businesses could, thereby, build a pipeline of enterprises that could mature into larger corporate clients within the broader banking ecosystem.
“Digitally delivered financial services also strengthen public revenue mobilisation. Increased transaction transparency supports a broader tax net and contributes directly to government revenues through stamp duty, reinforcing fiscal sustainability.
“This evolution is supported by a maturing regulatory environment. The Central Bank of Nigeria’s Open Banking Framework, rolling out in phases from early 2026, will ensure that all regulated institutions operate under consistent oversight.
“Secure data sharing standards mean customers’ financial histories can move with them across institutions, strengthening trust and accountability,” he explained.
(NAN)
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