Agent banking 'could improve access to finance in Nigeria'

Nov 14, 2011

Many people in Nigeria do not have bank accounts because they live too far away from a branch, a new study has revealed.

The Access to Financial Services in Nigeria 2010 survey by Enhancing Financial Innovation & Access (EFInA) showed this to be one of the main barriers preventing individuals from banking, the Daily Trust reports.

Unsteady income and unemployment are two other issues facing the sector and EFInA wishes to develop a sustainable agent banking network whereby people will be able to access services in places other than branches.

Chief Executive Officer of the organisation Modupe Ladipo said financial institutions need to "adapt their systems" and create more convenient points of access for consumers.

Jennifer Barassa, Chief Executive Officer of mobile money transfer agent manager Top Image, agreed, stating that agents "play an important role in acquiring new customers, enabling them to transact and keep the customer satisfied".

Speaking at the annual stakeholders' forum of the Bank Directors Association of Nigeria last month, Vanguard reported Deputy Governor of the Central Bank of Nigeria Dr Kingsley Moghalu as saying directors need to monitor how recent reforms to the country's financial system will "shape the future of banking in Nigeria".ADNFCR-2976-ID-801210261-ADNFCR