• Latest
  • Trending
  • All
  • LATEST NEWS
  • SPONSORED POSTS
  • BANKING
  • Cryptocurrency
  • Job Past Questions
  • PRICE WATCH
  • VIEW POINT
  • ECONOMY
  • Careers
  • Press Release
  • Breaking News
  • education news
  • Personal Finance
  • Networth
CBN Urges Fintech, Banks to Collaborate to reduce Cost of Transaction

Nigeria’s central bank’s clampdown on fintech firms may hinder investments

August 23, 2021
A Comprehensive Guide to the European Union Blue Card

Unlocking Opportunities: A Comprehensive Guide to the European Union Blue Card

August 31, 2024
Naira Redesign Policy Causes Banks' Deposits with CBN to Plummet by 95.82%

Currency in Circulation hits all-time-high Fueling Inflationary Pressures

August 29, 2024
Ecobank Nigeria Launches Oja Oge Pop up Marketplace to Empower SMEs

Ecobank Nigeria Launches Oja Oge Pop-up Marketplace to Empower SMEs

August 28, 2024
inflation Push Over 31 Million Nigerians into Acute Food Shortage

Insecurity and Economic Woes Push Millions of Nigerians into Acute Food Crisis

August 28, 2024
NAFDAC Cracks Down on Use of Unapproved Saccharine in Bread Production

NAFDAC Cracks Down on Use of Unapproved Saccharine in Bread Production

August 27, 2024
Food Prices in Nigeria Soar in July 2024

Food Prices in Nigeria Soar in July 2024: Beans, Eggs, and Yam Lead the Surge

August 27, 2024
Fed Rate Cuts Could Offer Respite for Nigeria’s Naira and Economy

Fed Rate Cuts Could Offer Respite for Nigeria’s Naira and Economy

August 27, 2024
Nigeria's Manufacturing Sector Struggles in Q2 2024

Nigeria’s Manufacturing Sector Struggles in Q2 2024: Growth Slows Amid Economic Challenges

August 27, 2024
Nigeria's Agricultural Sector Shows Modest Growth in Q2 2024

Nigeria’s Agricultural Sector Shows Modest Growth in Q2 2024: Crop Production Remains Key Driver

August 27, 2024
Nigeria's Economy Grows by 3.19% in Q2 2024

Nigeria’s Economy Grows by 3.19% in Q2 2024: Services and Industry Lead the Charge

August 27, 2024
States Share $71 Billion in Seven Years, But Poverty Persists

States Share $71 Billion in Seven Years, But Poverty Persists: What’s Going Wrong in Nigeria?

August 26, 2024
Interest Rate Hikes, Inflation Squeeze Profit Margins for Nigerian Paint Manufacturers

Interest Rate Hikes, Inflation Squeeze Profit Margins for Nigerian Paint Manufacturers

August 26, 2024
  • About
  • Privacy Policy
  • Terms of Use
  • Feedback
  • Advertise
Sunday, July 20, 2025
  • Login
Financial Watch
  • HOME
  • Banking
  • ECONOMY
  • VIEW POINT
  • PRICE WATCH
  • CRYPTO WATCH
No Result
View All Result
  • HOME
  • Banking
  • ECONOMY
  • VIEW POINT
  • PRICE WATCH
  • CRYPTO WATCH
No Result
View All Result
Financial Watch
No Result
View All Result
Home LATEST NEWS

Nigeria’s central bank’s clampdown on fintech firms may hinder investments

’Fintech firms have huge potential for Nigeria’

by Tosan Olajide
August 23, 2021
in LATEST NEWS
0
CBN Urges Fintech, Banks to Collaborate to reduce Cost of Transaction

FinTech

491
SHARES
1.4k
VIEWS
Share on FacebookShare on Twitter

Nigeria’s central bank’s clampdown on fintech firms may hinder investments – Finance and investment analysts at the weekend flayed the Central Bank of Nigeria (CBN)’s decision to freeze the bank accounts of some fintech companies as a desperate move that could hamper the long-term development of the economy.

This came as the Nigerian Exchange (NGX) Limited underscored the importance of fintechs in achieving an inclusive digital economy.

Market analysts at Cordros Securities said the freezing of the fintech accounts was “a desperate move to preserve the value of the naira” but it could further worsen the country\s economic perception.

“For us, this development could further worsen foreign investors’ perception of the country’s investment climate and may constrain private investment in the fintech space,” Cordros Securities stated.

The CBN had obtained a court order to freeze the account of five fintech companies on the basis of allegations that they were operating without asset management licenses and utilising foreign exchange (forex) sourced from the Nigerian forex market for purchasing foreign bonds and shares in contravention of the CBN circular referenced TED/FEM/FPC/GEN/01/012, dated July 1, 2015.

The affected companies included Rise Vest Technologies Limited, Bamboo Systems Technology Limited, Chaka Technologies Limited, CTL/Business Expenses and Trove Technologies Limited. Their accounts were last week frozen for 180 days pending the outcome of the apex bank’s investigation.

Speaking on the theme: “Roadmap to a Digital Nigeria: Harnessing Fintech, Cryptocurrencies and Artificial Intelligence to Create Stronger Financial Markets”, at the 2021 national workshop of the Chartered Institute of Stockbrokers (CIS), the NGX said the collaboration between fintech and the capital market would effectively create a digital economy as well as increase financial inclusion and cashless payments.

Divisional Head, Trading Business, Nigerian Exchange (NGX) Limited, Jude Chiemeka, explained that fintechs have a huge potential to transform the capital markets and effectively build a digital economy.

He added that rather than seeing fintechs as competitors, they are potential partners to incumbent capital market infrastructure providers like NGX.

Citing the Pulse of FinTech H2 2020 report, Chiemeka said that the global investments by fintechs were $105 billion despite a significant drop compared to $165 billion recorded in 2019 while adding that Nigerian fintechs raised about $439 million in 2020.

According to him, fintechs are transforming the financial services industry by focusing on targeted products and services, automating and commoditising high margin process, strategic use of data and collaborating with incumbents.

Chiemeka, who represented the Chief Executive Officer of NGX, Mr Temi Popoola, noted that the NGX provides access to capital, trade execution, post trade services, data analytics and information services, operations and technology and added that NGX is not left out of the fintech adoption as it continues to adopt technology to improve market accessibility and transparency.

“As Africa’s largest economy and with a population of 200 million-40 per cent of which is financially excluded, Nigeria is classified as a developing fintech economy compared to its more mature global peers such as the UK, Singapore, Australia, Sweden and India.

“EY estimates that Nigerian fintech revenues will reach $543 million by 2022, driven by increasing smartphone penetration, unbanked populations and a focused regulatory drive to increase financial inclusion and cashless payments.

“In line with the evolution of fintech in other markets, fintech activity in Nigeria started in payments and moved into other areas. consumer lending-and, increasingly, asset management-are focal points for fintech activity,” Chiemeka said.

He reiterated that NGX will continue to set up its solutions and innovation hub to explore projects that leverage distributed ledgers, cryptocurrency and artificial intelligence to improve financial inclusion and market accessibility.

Tags: CBNFINTECH
Share196Tweet123
Previous Post

Pantami Emphasizes Importance of NIN for Proper Budgeting

Next Post

Ethereum (ETH) hits new 3-month High, Here’s Why It Will Explode to ATH from Here

Tosan Olajide

Tosan Olajide

Next Post
Ethereum Price smashes 2600 Ahead of the London upgrade

Ethereum (ETH) hits new 3-month High, Here’s Why It Will Explode to ATH from Here

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Stanbic IBTC launches Africa-China Agent Value Proposition

List of Stanbic IBTC bank Routing Number, sort codes and branches in Nigeria

May 2, 2023
Banks Employ More Contract Staff as full staff continue to dwindle

Nigerian bank employee grades and levels

June 14, 2021
N-power Portal Login npvn.npower.gov.ng/login 2020/2021 – Update Your Account

N-power Portal Login npvn.npower.gov.ng/login 2020/2021 – Update Your Account

November 17, 2020
Zenith Bank2

List of Zenith bank Routing Number, sort codes and branches in Nigeria

May 2, 2023
Union Bank2

List of Union bank Routing Number, sort codes and branches in Nigeria

May 2, 2023
How buy 2019 JAMB 2019 UTME form/ registration PIN online

UTME result: How to Check JAMB Result 2022 – Jamb Result Checker

1333
JAMB Result checker 2020 out | www jamb org ng result checker

Utme 2021: Check JAMB Results Using JAMB Registration Number

1146
List of JAMB Approved CBT Centres In Abia State 2020/2021 | Abia State Jamb Cbt Centres

Jamb Portal 2021: How to check Jamb Results – jamb.org.ng/efacility

523
P Yes registration

www.p-yes.gov.ng – Register For P-YES Progeamme Portal – Apply Now

436
Breaking: JAMB releases more 15,490 UTME results

JAMB Results 2021 Online Checking Steps | www.jamb.org.ng Result

316
A Comprehensive Guide to the European Union Blue Card

Unlocking Opportunities: A Comprehensive Guide to the European Union Blue Card

August 31, 2024
Naira Redesign Policy Causes Banks' Deposits with CBN to Plummet by 95.82%

Currency in Circulation hits all-time-high Fueling Inflationary Pressures

August 29, 2024
Ecobank Nigeria Launches Oja Oge Pop up Marketplace to Empower SMEs

Ecobank Nigeria Launches Oja Oge Pop-up Marketplace to Empower SMEs

August 28, 2024
inflation Push Over 31 Million Nigerians into Acute Food Shortage

Insecurity and Economic Woes Push Millions of Nigerians into Acute Food Crisis

August 28, 2024
NAFDAC Cracks Down on Use of Unapproved Saccharine in Bread Production

NAFDAC Cracks Down on Use of Unapproved Saccharine in Bread Production

August 27, 2024
Financial Watch

Copyright © 2023 Financial Watch.

Navigate Site

  • About
  • Privacy Policy
  • Terms of Use
  • Feedback
  • Advertise

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • HOME
  • Banking
  • ECONOMY
  • VIEW POINT
  • PRICE WATCH
  • CRYPTO WATCH

Copyright © 2023 Financial Watch.