Dr. Toyin Sanni, the executive vice-chair at the leading Pan-African Investment Group, said the positive disruption spearheaded by fintech has birthed a positive revolution in the Nigeria Financial Landscape.
She made the comment at the just concluded AccounTech Summit 2024 with the theme: “Emerging Tech in Accounting & Finance – A Game Changer.
According to Dr. Sanni, “The financial services sector in Nigeria has experienced remarkable revolution over the years traditionally dominated by the Deposit Money Banks.
‘‘If you look at the ages of these Banks and then juxtaposed it with the age of the Fintech companies you have in our market and then you compare the market capitalization of these institutions that have been here for decades . It is clear that the revolution has indeed taken place.
She stressed:
“Banks like United Bank of Africa where she once served is 75years-old Access Bank 35years-old Zenith Bank 34 years-old, Guaranty Trust Bank 34-years and EcoBank 39years.
“For each of these banks the market capitalization is between $772 million, in fact the highest is $844 million and the lowest is $234million.
In comparative terms, the Fintech such as: Flutterwave, Paga, PayStack, Interswitch, OPay and Kuda and these are institutions that the oldest is 9years old and we are talking about unicorn and businesses that have over a billion dollars capitalization you can see clearly that the terrain as changed.
“But I like the message that I got from the last panel which is the message of partnership because the reality is that the Deposit money bank has a lot to offer in terms of risk management, stability over the years, in terms of experience and also in terms direct history of serving client on a more personalized basis.
Earlier during a panel session, experts identified the opportunities in a technology-driven innovation in Finance and its impact on the finance and Accounting sector.
Speaking, Adekunle Alli, head of Balance Sheet and Performance Management, at Standard Chartered Bank, noted that like other disciplines Technology has changed the processes and defined changes in the Finance and Accounting Profession, underscoring the fact that to maximize the opportunities practitioners must embrace the change.
Adekunle, who took a historical snapshot of the emergence of Artificial intelligence, noted that practitioners’ willingness and openness to embrace the new technology has changed.
“I would like to start from a historical background, you will agree with me whatever we are saying in terms of progress has a history behind it and that is why I want us to look at what we do in the office as an Accountant.
“You will realize that a lot of things have changed. This is not peculiar to only accounting but to other disciplines, this speaks to the fact technology has come to say.”
He noted:
“What we referred to today as a revolution in the Tech space, call it Artificial Intelligence, is not a modern invention, because several documents revealed that Artificial Intelligence started in the 1950s.
“But what has changed between then and now? Is that the technology adoption rate has changed, with machine learning, Block Chain Technology, and the ability to predict.”
“The changes in our mindset change the dynamics, this is because we are more receptive to changes. All these technologies we are seeing now and engaging and interacting more because a lot has changed in our mindset
Nodding in agreement, Aramide Balogun, senior statutory & tax controller For Africa Microsoft, noted that “there are several tools, which experts in the Finance and Accounting profession can leverage.
But for me, the first tool will be Cloud Connectivity because cloud connectivity provides the base of other tools that I am going to talk about.
“I remember when I started my career and you had to work on an entire document, you had to save it with a version and then transfer it to another person through the flash drive.
“But today, you can collaborate with teams. You can now work as a team, you and your colleagues can work on documents.
Automation is another innovation. like I saw when I came into this center and saw a lot of automated processing advertisements. With the power of automation now at our disposal, you can automate data entry, reconciliation, and reporting.
For example, at Microsoft, I was surprised by the amount of technology that goes into our accounting processes and we have something called ‘recon intelligence” where machine learning and artificial intelligence are responsible for reconciling low-value accounts.
“What that means is that I no longer have to spend time going through all of the reconciliation processes because I can leverage on some tools in the background.
But for Oluwatosin Olashehinde, founder of Money Africa, a finance background, open mind, and curiosity are needed to maximize the opportunities that have been ushered in by the pace-setting technological era in the finance and Accounting world.
Speaking about “the skills and knowledge gap that needs to be addressed,
“I would like to use a scenario, I was invited by a school and they wanted me to speak about career opportunities. When I was in university, if anybody had told me that I would be applying the skill of finance in a different forum, principally in Tech I wouldn’t have believed it. .
“I do not know that the opportunities existed when I was in the University. I trained to become a charted Accountant. But I did not know I would end up been in the Tech space.
So the skills gap and opportunity is that having a finance background afford you the opportunity to work anywhere.”
“As long as there is the movement of money, they need you. So in terms of skills and Gap come into the space with your mind open and ask yourself about what you can do and the problem you can solve.
“The point is, you are not just a finance person there are so many opportunities around your profession you just have to go out and make it happen.”
Meanwhile, in her welcome address, Ms. Mopelola Jatto, lead business development Manager at ACCA, emphasized the critical role of technology in driving the future of the finance industry.
She highlighted the need for accountants to adapt to the changing landscape and embrace digital transformation.
The summit’s theme, “Accounting through Innovation in Tech”, resonated throughout the day, as speakers and panelists delved into a range of topics, including:
The impact of AI and machine learning on financial processes: Experts discussed how these technologies can automate routine tasks, improve decision-making, and uncover valuable insights from data.
Blockchain’s potential to revolutionize the finance industry: Attendees explored the benefits of blockchain for enhancing transparency, security, and efficiency in financial transactions.
Cybersecurity challenges and solutions in the digital age: Industry leaders shared their insights on protecting sensitive financial data from cyber threats.
There also discussions on the role of data analytics in driving business growth: Speakers emphasized the importance of data-driven decision-making and the need for accountants to become proficient in data analysis.
“We are thrilled with the overwhelming response to the AccounTech Summit,” said Mrs. Oluwatoyin Olufon, founder/CEO of Techy Accountant and Lefort Consulting in her welcome note.
She noted that the event is a testament to the industry’s commitment to innovation and progress.
“We believe that by fostering collaboration and knowledge sharing, we can empower finance professionals to thrive in the digital age,” she added.
Beyond the insightful sessions, the summit provided ample opportunities for networking and collaboration among attendees.
The event featured interactive workshops, panel discussions, and a dedicated exhibition area showcasing the latest accounting and finance technologies.
