Nigeria: Ecobank officially launches agent banking

Jan 06, 2016

The new model will provide banking services to people living in remote areas.

Ecobank is deploying a network of agents across Nigeria to offer banking services to more regions and reach people living in remote areas.

The agency banking model, designed by the Central Bank of Nigeria (CBN), will increase the bank's retail distribution network to provide basic banking services, transfers and bill payments.

Ecobank's head of e-banking Ayotunde Kuponiyi said the initiative was part of the bank's distribution strategy to take banking services to the door-step of customers and reach the unbanked.

With the banking agency model, the CBN is looking to emulate Kenya's example, where the banking sector witnessed an increase in financial inclusion following the introduction of this model in 2010.

According to a report from the Central Bank of Kenya, it has ensured more people have increased contact with banking facilities.

In June 2014, there were 15 commercial banks that had contracted 26,750 active agents facilitating more than 106 million transactions valued at Sh571.5 billion (€5.2 billion).

This was up from 14 commercial banks in March 2014 with 24,645 agents facilitating about 92.6 million transactions valued at Sh499 billion.ADNFCR-2976-ID-801809375-ADNFCR