Operators in the Nigeria Telecommunications Industry are also some of the key players championing the growth of digital financial inclusion services without recourse to infringement of operational boundaries.
Communication and financial services are being regulated by two different government commissions but they have interwoven as digital payment scheme which operators now leverage to promote the Central Bank of Nigeria’s cashless policy through various forms of mobile money services and financial technology solutions.
According to Mr. Gbolahan Awonuga, the Executive Secretary, the Association of Licensed Telecommunications Operators of Nigeria (ALTON), operators in the industry now take due active roles in the value chain for financial technology services with the backing of their industry regulator; the Nigeria Communication Commission.
Speaking in Lagos at the Nigeria Information Technology Reporters Association (NITRA) forum with the theme; ”Digital Payment: Prospects and Challenges of a Financially Inclusive Nigeria” said after securing NCC regulatory backing operators in the industry are in discussion with the Central Bank of Nigeria for licences to provide mobile payment services.
Awonuga said, “To fit into the mobile money platform, the Nigerian Communications Commission (NCC) graciously agreed that telecommunication operators should get the super agent licence from the Central Bank of Nigeria (CBN).”
According to him, the telecommunications companies have to operate on subsidiary names, which are not the telecommunications companies’ names.
”They are working on getting the licences already. Globacom recently launched its mobile money platform, so the operators are already keying in to boost financial inclusion.
”The telecommunications companies have been doing so much on electronic payment. We are going for licence for e-payment.
”Nigeria is lagging behind so much in mobile payment, and this is obvious in the rural areas.
”So the telecommunications operators want to bridge the gap that the country has in financial inclusion,” he said.
In the view of Mr. James Emadoye, the President of the Institute of Software Practitioners of Nigeria (ISPON), innovative software solutions are key to achieving seamless electronic payment scheme urging that Nigerians should encourage local content in software development.
According to Emadoye, foreign technology solutions are mostly embraced as this kill innovations from the homegrown developers, hence banks and other key institutions have to change their focus to embrace what Nigerians are doing in software development.
”The national cake, which is oil in Nigeria, is running dry, so we need to rethink on another opportunity, which lies in software development. Nigerians are developing solutions that mitigate challenges we face as a socio-economic nation, but if we do not patronise our own go solutions who will?” he queried.
Earlier, the Chairman of the forum; Computer Warehouse Group Founder; Austin Okere and the Keynote Speaker, Mr. Tunde Ogungbade; Managing Director, Global Accelerex elucidated the need for open access for digital payment growth nationwide stating that with the flexible regulatory environment, financial technology scheme can strive to actualise an alternative goldmine for economic prosperity of Nigeria.
Austin said, “As “money is going digital” around the world, with central banks from England to China publicly floating the notion of issuing their own national digital currencies, it has become imperative for Nigeria and other developing economies to innovate on technology that will even cater for needs of rural dwellers.
Conceptually, the idea of harnessing the upside of the digital revolution; mobile payments in particular, while preserving the existing legal and regulatory setup, practically, demonstrate the significant cost savings, a reduction of operational and fraud risks in the current payments systems, that black chain.’
“improved mobile money banking cannot be ruled out in the bid to reach the hinterlands, Kenya is not waiting despite their leading achievements won mobile money, however solutions are coming out of Nigeria that can be competitive across the globe. With more open access and if the focus is given before the year 2020 Nigeria cashless scheme would have gone national,” said Ogungbade during his presentation.
