Earlier this year, the Central Bank of Nigeria (CBN) revealed that financial fraud surged by 45% in the past year, with 70% of losses linked to digital platforms such as mobile apps, unregulated fintechs, and virtual asset schemes. 

The Economic and Financial Crimes Commission (EFCC) has also said that Nigeria could be among the countries to lose part of the $10.5 trillion the world stands to forfeit to cybercrime by 2025, with more than 2,300 cases reported every single day.

So, while we are celebrating progress, more people using apps to pay bills, more traders moving money with a tap of the phone, the other situation is that cybercrime is growing just as fast, if not faster. And it is not just the numbers that are frightening; it is the fact that we are unprepared for the scale of the problem.

Nigeria’s digital economy is expanding at a pace few imagined a decade ago. From mobile banking to online trading platforms, the transition to digital is bolstering how people and businesses move money. But then, there is the high cost that we can no longer ignore, and this is the surge in cybercrime.

The Banking Sector’s Burden

In this tussle, every new defence banks create seems to attract a smarter counterattack from fraudsters.

The surge in cyberattacks has left banks with little choice but to commit more resources to security systems, monitoring tools, and compliance processes. CBN’s fraud data has made it clear that the costs of inaction are higher than the costs of investment.

But this creates a dilemma. Every new layer of authentication, every delay in transaction verification, while essential for safety, can frustrate customers. And as banks invest more, cybercriminals adapt faster, deploying equally advanced tactics to breach these systems. What we are witnessing is an arms race, one that is expensive, relentless, and unavoidable.

Ponzi Schemes and Digital Traps

The Securities and Exchange Commission (SEC) has repeatedly warned about virtual asset frauds and Ponzi-style investment schemes. In 2024 alone, over 30 such schemes were flagged by regulators. Many exploited the language of digital currencies and blockchain to lure small investors. 

The damage goes beyond the immediate victims; it destroys trust in the entire financial system. When the public starts to doubt that digital platforms are safe, adoption slows, and genuine businesses suffer.

This is beyond a tussle between banks and hackers, but between regulators and shadowy schemes feeding off public trust.

Why Nigeria is at Risk

Cybercrime thrives where opportunity meets weakness, and Nigeria provides both. Digital adoption is rapid, but cybersecurity awareness among users is low. Enforcement of existing regulations is patchy, and the frameworks themselves usually lag behind the pace of innovation. 

At the same time, a troubling reality is that unemployment is feeding into the cybercrime economy. For many young people, fraud, whether through phishing scams or so-called “Yahoo Yahoo”, is seen as a viable path to survival.

The True Cost of Digital Growth

The impact of unchecked cybercrime runs deeper than balance sheets:

• Financial cost: Billions lost yearly, alongside increased budgets for cybersecurity infrastructure.
• Trust cost: Users lose trust in digital channels, sabotaging the cashless economy drive.
• Policy cost: Regulators try to meet up, introducing rushed directives that may repress innovation.
• Opportunity cost: Investors may think twice about putting money into Nigeria’s fintech ecosystem if risks appear unmanageable.

These layers of cost collectively threaten to slow down the momentum Nigeria has built in digital scale.

Countries like India and Kenya have confronted similar challenges. India’s digital public infrastructure includes stronger user authentication protocols, while Kenya has leaned on regulatory sandboxes to test fintech innovations under supervision. 

These examples show that progress and protection can go hand in hand. Nigeria does not lack capacity, but what is missing is a coordinated, enforced, and forward-looking cybersecurity strategy.

To contain the threat, several steps are urgent:

1. Regulatory enforcement: CBN, NITDA, and SEC must demand minimum cybersecurity standards for all digital service providers.
2. Public education: Cybersecurity literacy campaigns are as important as financial literacy. Users must recognise threats before they click.
3. Shared intelligence: Banks, telcos, fintechs, and regulators should collaborate on real-time data sharing about fraud attempts.
4. Investment in talent: Nigeria needs to build its pool of cybersecurity experts and make it a career path worth pursuing.

We cannot celebrate digital progress while ignoring the holes in the foundation. Every fraudulent transfer, every compromised account, chips away at public trust in Nigeria’s digital resilience. 

The question is not whether cybercrime will continue — it will. The real question is whether Nigeria is prepared to pay the price of protecting its digital economy, or whether the cost of inaction will outweigh the progress we have worked so hard to achieve. These and more are steps in the right direction that could help overcome Nigeria’s cybersecurity challenge. 

Speaking during a high-level panel session at the event hosted by the Lagos Chamber of Commerce and Industry (LCCI), Mr. Atanda delivered an intervention on the structural gaps slowing SME growth in Nigeria and the urgent need for a coordinated national approach to digital enablement.

With the session focused on harnessing financial technology to unlock Africa’s development potential, Mr. Atanda made a case for national alignment in policy, technology, and infrastructure.

“The real conversation isn’t about how many platforms we have. It’s about whether Nigeria has a national strategy for SMEs in the digital age,” he stated. “Once that is defined, the role of regulators, fintechs, logistics players, and government becomes clearer and more impactful.”

He highlighted how fintech platforms are helping SMEs transcend traditional barriers. From enabling cross-border payments to improving digital visibility, technology has expanded opportunities for small businesses that previously operated in geographic isolation.

“A business in Aba can now serve a customer in Accra, because payment rails make it possible. That’s real change,” he noted.

Now in its 11th edition, ICTEL EXPO has become a flagship platform for dissecting Africa’s innovation landscape, and this year’s theme, “Leveraging Technology for Innovation and Development in Africa,” brought a fresh urgency to long-standing conversations.

As SMEs continue to contribute over 48% to Nigeria’s GDP and employ more than 80% of the workforce, stakeholders gathered to explore how digital infrastructure, fintech innovation, and regulatory reform can accelerate this segment’s transformation.

The 2025 event attracted hundreds of participants across sectors, reaffirming the role of technology as the engine of inclusive and sustainable economic development across the continent.

Mr. Atanda also cautioned that the progress made in digital innovation and financial inclusion cannot be sustained in a fragmented ecosystem.

While there have been notable advances, such as increased digital payments, tech-driven services, and broader access to financial tools, these gains risk being undermined by the lack of coordination among key institutions.

“We’re seeing duplication where we need direction. Innovation must be guided by a shared vision that links digital solutions to national economic goals,” Mr. Atanda warned.

He welcomed recent steps by the CBN, particularly the establishment of a dedicated Payment Supervision Department, as a positive move towards greater clarity in the fintech landscape.

This, he said, should be accompanied by collaborative policy development that integrates technology, finance, and trade.

Mr. Atanda further stressed the need to embed logistics into the SME growth equation.

“Technology can connect buyers and sellers instantly, but if a product takes a week to arrive or never does, we haven’t solved anything. A tech-driven logistics backbone is as vital as payment platforms.”

Touching on access to credit, he explained how integrated data systems can transform small businesses’ financial profiles.

“Today, many SMEs serve the same customers in isolation. Imagine if we could consolidate these transactions into one data layer, we’d reveal true business activity and unlock credit access at scale,” he said.

He also spotlighted open banking as a potential game-changer for SME financing, arguing that shared access to payment data, customer patterns, and transaction volumes can allow both banks and fintechs to lend more confidently and competitively to small businesses.

To close, Mr. Atanda urged all stakeholders: government, private sector, regulators, and development partners, to convert conversations into measurable progress.

“If by the next conference we cannot point to at least one major milestone from these discussions, then we would have failed the SMEs that we claim to serve. The future demands more than talking; it requires alignment, execution, and sustained accountability,” he added.

Mr. Atanda’s contribution served as both a challenge and a roadmap: that the success of Nigeria’s digital economy lies not in isolated innovation but in collective intent.

His call reinforced a central truth: that the potential of Nigeria’s SMEs can only be fully realised when technology, regulation, and national interest move in deliberate coordination.

Beyond the participation in the panel discussion, Remita also featured prominently as an exhibitor, demonstrating its strength as a full-stack financial ecosystem that powers growth and operational excellence for organizations of all sizes.

Its showcase carried a clear message of ‘empowering business growth one payment at a time’, while extending an open invitation to businesses seeking to take charge of their payments and collections.

The exhibition reflected Remiita’s role as the bridge between technology and tangible business outcomes, reinforcing its reputation as a strategic partner for SMEs, corporates, banks, and fintechs seeking scalable financial infrastructure and transformative growth within Nigeria’s evolving digital economy.

The amount totaling N180 billion had generated a lot of controversies as the telcos accused these banks of deliberately withholding the same sum.

However, Techeconomy can report that 13 banks have now cleared N171 billion out of the N180 billion they collectively owned telcos, representing 95 per cent of the total debt.

With the resolution of the long-standing dispute, telecom operators have now fully commenced the implementation of End-User Billing (EUB), which shifts USSD service charges directly to users’ airtime balances instead of bank accounts.

According to the telcos, 13 out of 16 banks with outstanding debts have now fully paid, while three others are completing their final installment payments; only one of the original 18 banks was not involved in the pre-Application Programming Interface (API) debt, and another, was declared insolvent.

This was confirmed by Engineer Gbenga Adebayo, chairman, Association of Licensed Telecom Operators of Nigeria (ALTON), who said,

“We have recovered about 95 per cent of the outstanding debt,” noting that this significant repayment has paved the way for the full rollout of end-user billing.

Speaking during a webinar stakeholders’ meeting, titled: “Ask the Exec: USSD end-user billing”, Adebayo said that under the new regime, customers will no longer be billed through their bank accounts for USSD transactions, adding that the N6.98 per 120 seconds charge will now be deducted directly from users’ airtime balances, ushering in a more transparent and standardised billing system.

The transition comes on the heels of long-standing tension between banks and telcos over unpaid USSD service debts.

As of January, banks were owing telecom operators N180 billion, primarily accrued before the introduction of a standardised API that gave banks better control over their USSD platforms.

Under the new End-user Billing model, telcos no longer rely on the banks for customer billing. Instead, when a customer initiates a USSD transaction, a consent message will appear informing them of the airtime deduction.

Upon approval, the telco verifies the bank’s availability through a USSD aggregator before establishing the connection and applying the charge.

This process ensures users are only billed for successful and verifiable service access.

“We are just the transport medium. Think of it as taking a taxi to the bank. The driver doesn’t know what happens inside the bank, their job is to get you there safely,” Adebayo explained.

To enhance user experience and transparency, error messages have now been unified across all telecom operators, providing consistent updates on whether a failed transaction was caused by the bank, telco, or other intermediaries.

While all root USSD codes will now attract charges, Adebayo clarified that direct strings for airtime and data purchases have been zero-rated. This means customers who use these long-form codes will not incur any deductions from their airtime for such transactions, he affirmed.

“We will be communicating with customers to encourage the use of direct strings for airtime and data purchases, which remain completely free of charge,” Adebayo noted.

While migration to end-user billing is ongoing, Adebayo confirmed that banks still have the option to remain on corporate billing, provided they meet their financial obligations and maintain consistent payments.

“We are not shutting anyone out. But any institution that chooses to stay with corporate billing must clear their debts and commit to timely settlements,” Adebayo clarified.

As to whether this EUB will further add financial burden on Nigerians, Lynda Saint-Nwafor, chief enterprise business officer, MTN Nigeria, said, “The customers were already paying for this. The only difference now is that rather than deduct it from your bank account, it will be deducted from your airtime,” stressing that the shift does not increase costs for consumers.

On the one hand, households groan under the weight of runaway inflation, forex instability, fuel price hikes, and an unrelenting surge in the cost of living.

On the other, a stream of earnings reports from banks, telecoms, FMCGs, and even manufacturing firms show a steady rise in revenues and profits.

It almost feels surreal: while the average Nigerian tightens their belt to survive, boardrooms are raising glasses to another quarter in the black. How are companies thriving when their customers are barely surviving?

The answer appears to lie in a complex interplay of strategic pricing, market consolidation, cost-cutting measures, and, unfortunately, consumer sacrifice.

Many of Nigeria’s leading corporates have adopted recession-proof strategies that prioritize shareholder value, often at the expense of affordability and accessibility for the average consumer.

Take the financial sector, for instance. Tier-one banks such as Zenith (PAT N312 Billion), GTCO (PAT N258 Billion), and Access Holdings (PAT N182 Billion) all reported robust Q1 2025 profits.

These were largely fueled by non-interest income, transaction charges, FX revaluation gains, and aggressive digital expansion.

While interest rates soared, banks reaped returns on government securities and leveraged forex differentials to boost their margins. Meanwhile, small business owners and salary earners struggle to get loans or survive excessive transaction fees.

In the telecoms space, MTN Nigeria (PAT N133 Billion) and Airtel Africa (PAT $31 Million) posted impressive earnings as data consumption remains inelastic, even during hard times. With more Nigerians relying on mobile data for work, education, and survival, telcos are cashing in. However, data costs have steadily increased, often quietly, adding to household burdens.

Fast-moving consumer goods (FMCG) giants like Nestlé (PAT N30 Billion), Cadbury Nigeria (PAT N5.9 Billion) and Unilever (PAT N5.2 Billion) also joined the profit party.

With dollar volatility affecting import costs, many firms have localized production, increased prices, and reduced pack sizes (a practice known as “shrinkflation“). Consumers, in turn, are forced to adjust consumption habits, often choosing between quantity and quality.

The success of big business however raises uncomfortable questions: is Nigeria’s private sector truly growing sustainably, or merely extracting value in a way that widens the inequality gap?

What is emerging is a two-speed economy. On one track, corporates optimize profits through agility, digital transformation, and price adjustments.

On the other, citizens face daily hardships, shrinking purchasing power, stagnant wages, and rising unemployment. The middle class is thinning, while poverty deepens.

I think that government inaction and weak regulation often compound the situation. There may also be companies that exploit regulatory loopholes or benefit from policies that insulate their sectors from real competition. While this fuels short-term gains, it does little to build long-term inclusive growth or economic resilience.

To align corporate success with citizen welfare, Nigeria must prioritize policies that channel profits into inclusive growth.

First, the government should expand targeted cash transfers and food subsidies to shield the poorest households from inflation’s bite. Headline inflation stood at 24.23 per cent in the period under review.

No wonder therefore that the World Bank’s call for accelerated social protection programs is urgent.

Second, investing in labour-intensive sectors like manufacturing and agriculture could create jobs and reduce rural-urban disparities. In addition, addressing insecurity in farming regions would lower food prices, tackling inflation at its root.

Third, monetary policy must balance inflation control with economic stimulus. The Central Bank’s tight policy, while necessary, has raised borrowing costs, stifling small businesses that employ millions.

A gradual easing, as inflation is projected to fall to 22.1 per cent in 2025, could spur growth without reigniting price pressures. (NB: A tight monetary policy, implemented by a central bank, aims to curb rapid economic growth and control inflation by slowing down spending and reducing the money supply.)

Finally, companies must share the burden. Corporate social responsibility initiatives, such as affordable pricing for essential goods or investments in community infrastructure, could ease public discontent and foster goodwill.

This is the core of the matter. The glowing quarterly results splashed across business pages paint a picture of corporate triumph, but it’s one cast against a backdrop of growing national despair. This contrast cannot be ignored, and it is also not sustainable.

The corporate sector’s resilience is a testament to adaptability and innovation, but it also underscores a troubling truth: economic growth alone does not lift all boats.

Nigeria’s economic narrative cannot be solely about profits and stock valuations; it must include people. If companies are winning while citizens are weeping, then we are all losing in the long run.

What’s needed is a recalibration: one where businesses pursue profit with purpose, governments enforce equity, and the well-being of Nigerians becomes the bottom line that truly matters.

*Elvis Eromosele, a corporate communication professional and public affairs analyst, wrote via: elviseroms@gmail.com

This call was made at the Mandatory Compliance and Anti-Money Laundering (AML) Training Workshop held in Lagos on 28 February 2025. Organised in collaboration with Citi, the event gathered compliance officers, trade operations specialists, and correspondent banking teams to discuss emerging financial risks and regulatory expectations.

Shola Phillips, special adviser to the CBN Governor on Compliance, stressed that Nigerian banks must adhere to evolving international compliance standards to maintain credibility and sustain correspondent banking relationships. 

“Regulators expect financial institutions to maintain dynamic, risk-based AML/CFT programmes that are responsive to the evolving financial environment. Proactive engagement with regulatory developments and the integration of innovative compliance solutions is essential for institutions to meet these expectations effectively,” she stated.

Phillips warned that failure to strengthen compliance frameworks could lead to repercussions from international financial institutions, limiting Nigerian banks’ access to global banking networks.

At the workshop, global financial experts noted the importance of rigorous compliance measures in mitigating financial risks.

Siobhan Ni Ealaithe, managing director of Citi’s Correspondent Banking Group, spoke on the role of governance structures in preventing illicit financial activities. She noted that compliance protocols such as Know Your Customer (KYC), Know Your Business (KYB), and Know Your Transaction (KYT) were critical in enhancing financial transparency.

Stephanie Bailey, head of EMEA AML Risk Management for Foreign Correspondent Banking, revealed that an estimated $3 trillion in illicit funds flow through the global financial system annually. 

She urged Nigerian banks to adopt advanced due diligence processes and technology-driven risk assessments to stay ahead of financial crime threats.

The Central Bank of Nigeria reaffirmed its determination to uphold strict regulatory standards to protect Nigeria’s financial ecosystem. Governor Olayemi Cardoso, in a statement, stressed that regulatory compliance is fundamental to maintaining trust and stability in the financial sector. 

“A strong financial system is built on trust, and trust is earned through integrity and compliance. The CBN will continue to set high regulatory standards to protect Nigeria’s financial ecosystem and ensure its alignment with global best practices,” he said.

As part of its work to strengthen oversight, the apex bank is intensifying supervision, deploying digital monitoring tools, and ensuring that Nigerian banks adopt proactive compliance strategies.

Starting March 1, 2025, Nigerians won’t need to worry about saving money, because their banks will be doing the saving for them—one ATM withdrawal at a time—just that you can never access the funds. Sounds like a well-planned heist, right? Except this one is perfectly legal.

Nigerians will now be paying through their noses just to access their own funds, thanks to the Central Bank of Nigeria’s (CBN) latest policy blessing the banks with a multi-trillion-naira windfall in ATM charges. 

Let’s break it down.

The Billion-Naira Cash Grab Disguised as Policy

Under the new policy:

• On-Us Transactions: Withdrawals at your bank’s ATM? Free. (Phew.)
• Not-On-Us Transactions: Withdraw at another bank’s ATM? That’ll be ₦100 per ₦20,000.
• Off-Site ATMs: Withdraw from an ATM that isn’t inside a bank? That’s ₦100 per ₦20,000 withdrawal, plus a surcharge of up to ₦500.
• International Withdrawals: Fees are “based on cost recovery,” meaning whatever the international acquirer charges will be passed directly to you.

At first glance, ₦100 per withdrawal doesn’t seem like much—until you do the math.

How Banks Will Make ₦2.2 Trillion from Your Money

…and that’s just based on one withdrawal per active account a month

With 311.6 million active bank accounts in Nigeria, even a single monthly withdrawal per account could generate huge profits:

• Domestic Withdrawals: ₦100 x 311.6 million = ₦31.16 billion per month.
• Off-Site ATM Withdrawals: ₦600 per withdrawal x 311.6 million = ₦186.96 billion per month.

That’s over ₦2.2 trillion per year—not from lending, not from business investments, but simply from letting people access their own money.

And all this in an economy where inflation is running at over 30%, unemployment is skyrocketing, and the new ₦70,000 minimum wage barely covers rent and food.

If a worker withdraws ₦80,000 in a month from off-site ATMs, they could pay up to ₦2,000 in fees—nearly 3% of their salary. Meanwhile, banks continue to report record profits.

From Banking to Legalised Extortion

Globally, banks earn primarily from lending. But in Nigeria, financial institutions have found a more innovative model: charging customers for every financial move they make.

• In the first quarter of 2024, top-tier banks raked in over ₦125 billion from electronic banking charges.
• With just 16,714 ATMs for over 200 million Nigerians, long queues and machine downtime are already the norm. This policy will push more people towards expensive PoS withdrawals, where agents also charge their own fees.
• By contrast, in countries like Kenya, digital banking is encouraged through zero ATM withdrawal fees for many account types. Even in South Africa, withdrawal charges are significantly lower. So why are Nigerian banks making their customers pay so much for basic services?

The CBN claims these charges will prevent customers from breaking withdrawals into smaller amounts. But let’s be honest: This is just another revenue stream for banks, cleverly wrapped in the language of “financial policy.”

The Central Bank of Nigeria, rather than acting as a regulator in the interest of financial inclusion, seems to be tilting towards policies that favour banks at the expense of customers. 

The question is: why is there no cap on ATM charges? Why isn’t there a push for alternative, low-cost cash withdrawal solutions?

I mean! There is no upper limit or maximum limit on the charges for ATM transactions. The fees can vary and may increase based on different factors, such as the amount of money withdrawn or the location of the ATM. Essentially, there is no fixed maximum charge that customers can be guaranteed not to exceed. 

This means you might encounter different fees depending on which bank’s ATM you use or whether the ATM is located on-site (at a bank branch) or off-site (at a different location, like a shopping mall). 

Moving Towards Digital, or Just Financial Exclusion?

Supporters say that higher ATM fees will encourage electronic transactions—but here’s the problem:

• Digital Payments Are Not Universal: Many Nigerians, especially in rural areas, still rely on cash for daily transactions.
• Mobile Network Issues: Failed transfers and delayed alerts are common, making cash a safer option for many.
• Unbanked Population: With 26% of Nigerians still unbanked, these charges could further discourage financial inclusion.

So, what’s the alternative? Fintechs like Opay, PalmPay, and Kuda may benefit as Nigerians search for less exploitative banking options. But until digital banking becomes truly reliable, these ATM charges are nothing short of a tax on poverty.

So, Who Will Save Nigerians from Their Own Banks?

As it stands, the biggest threat to your finances isn’t inflation, unemployment, or even government policy—it’s your own bank.

At what point does banking stop being a service and start looking like state-approved extortion? Nigerians are being charged simply for existing within the banking system.

If the CBN does not cap these fees or introduce customer-friendly alternatives, we may soon see a mass exodus from traditional banking. The very institutions meant to safeguard our money seem more interested in finding new ways to take it—so as to “ease costs of operations.”

Until then, be prepared: In Nigeria, it now costs money to withdraw your own money.

According to the directive in a Tuesday public notice signed by Reuben Muoka, NCC’s director of Public Affairs, the affected banks must settle their outstanding obligations by January 27, 2025, or risk losing access to their USSD codes.

These codes, essential for enabling mobile banking services, could be reassigned to other applicants if the debts remain unresolved.

The commission revealed that, as of Tuesday’s close of business, nine out of 18 financial institutions had not complied with regulatory directives.

While other banks have cleared their debts, the total amount initially owed by the financial institutions was reported to exceed N200 billion.

However, the regulator did not disclose the precise debt currently owed by the affected banks.

According to the NCC, some of the unpaid invoices have remained unpaid since 2020, indicating a prolonged financial dispute between the banks and telecom operators.

Part of the notice read,

“By the information made available to the commission as at close of business on Tuesday, 14th January 2025, of a total of 18 financial institutions, the nine institutions listed below have failed to comply significantly with the directives in the Second Joint Circular of the Central Bank of Nigeria and the commission dated December 20, 2024, for the settlement of outstanding invoices due to MNOS, some since 2020.”

The regulator noted that banks’ failure to comply with the CBN-NCC joint circular also means that they are unable to meet the good standing requirements for the renewal of the USSD codes assigned to them by the commission.

It added,

“In fulfilment of its consumer protection mandate, the commission wishes to inform consumers that they may be unable to access the USSD platform of the affected financial institutions from January 27, 2025.”

The affected financial institutions include;

1. Fidelity Bank Plc,
2. First City Monument Bank (FCMB),
3. Jaiz Bank Plc,
4. Polaris Bank Limited,
5. Sterling Bank Limited,
6. United Bank for Africa Plc,
7. Unity Bank Plc,
8. Wema Bank Plc, and
9. Zenith Bank Plc.

The affected USSD codes include 770, 919, and 822, among others.

The NCC emphasised that the financial institutions had been duly notified of the need for immediate compliance and warned that consumers may face service disruptions if the issues remain unresolved.

This development highlights ongoing tensions between telecommunications companies and financial institutions over unpaid USSD-related debts, a challenge that has persisted for years.

Meanwhile, data from the CBN revealed that 252.06 million transactions worth N2.19 trillion were conducted via USSD between January and June 2024.

This represents a significant growth compared to 2023 when 630.6 million transactions valued at N4.84tn were completed using USSD codes.

Originally designed by telecom operators for services like airtime purchases and subscriptions, USSD has become a key tool in the banking sector, offering financial services to users without requiring an Internet connection.

This lack of integration comes largely from technological limitations and cost constraints, which hinder banks from providing the personalised, seamless experiences customers now expect.

The study, which surveyed 50 senior banking executives and analysed industry benchmarks across regions such as APAC, the Middle East, North America, LATAM, and the EU, stresses the banking sector’s fight to adapt to rapidly advancing digital demands. 

With assets totalling around $3.03 trillion represented in the research, CleverTap’s findings suggest that data silos are a primary obstacle, limiting banks’ prospects to adopt AI effectively and gain comprehensive insights into customer behaviour.

Notably, three-quarters of banking executives appear overly focused on immediate revenue goals, potentially sidelining strategies for long-term growth and customer loyalty. 

The report argues that adopting advanced analytics is essential for achieving this balance, as it enables banks to predict future customer trends rather than merely tracking current performance.

To address these issues, CleverTap has proposed the Core Four Framework — Trust, Technology, Touchpoints, and Transactions — designed to guide banks in shifting from product-centric to customer-centric models. 

This framework emphasises creating “phy-gital” (physical and digital) experiences, which blend in-person and online banking to foster more meaningful customer relationships.

Key insights from the framework reveal that loyal customers are 2.5 times more valuable in terms of transaction volume, and referred customers are 3.5 times more likely to engage, highlighting a significant opportunity to leverage high-Net Promoter Score (NPS) customers. 

However, 50% of banking executives are not capitalising on this potential. Added to this, only a third of banks use four or more engagement channels despite evidence that multi-channel approaches yield 53% higher conversion rates.

To support banks in scaling through these complexities, CleverTap outlines a three-stage AI strategy aimed at improving operational efficiency, enhancing personalisation, and enabling strategic decision-making. 

The stages are as follows:

1. Operational Optimisers: Leveraging AI to simplify workflows and automate routine tasks, allowing banks to improve efficiency and focus on customer needs.
2. Personalisation & Experimentation Architects: Applying AI to customise interactions and conduct large-scale experiments that can drive customer engagement and conversion rates.
3. Strategic Innovators: Using AI to automate strategic decisions and gain deeper insights, supporting long-term planning that aligns with evolving customer demands.

Jacob Joseph, CleverTap’s VP of Data Science, emphasised that the banking sector has traditionally lagged in tech adoption, often opting for a “follower” approach. However, he stressed that AI now presents a unique opportunity for banks to bridge this gap, enabling hyper-personalised services that build trust and loyalty. “For banks aiming to remain competitive, AI isn’t optional — it’s essential,” Joseph stated.

Looking forward, the report identifies six AI-driven trends poised to reshape the industry:

1. Synthetic Data: Enhances analytics while maintaining privacy standards.
2. Emotional Engagement: AI-driven gamification and immersive experiences strengthen customer loyalty.
3. Modernised MarTech Ecosystems: AI-integrated platforms unify data and services to improve customer interactions.
4. Customer-Centric Personalisation: Dynamic AI-driven personalisation enhances retention and strengthens customer relationships.
5. Responsible AI Frameworks: Ensuring transparency and compliance to build customer trust.
6. Fintech Collaboration through Open Banking: AI-powered partnerships with fintech firms create comprehensive financial ecosystems, offering real-time insights and a broader service range.

CleverTap’s research stresses the possibilities around AI in banking, particularly in enhancing customer engagement and operational effectiveness. 

For banks committed to a digital-first future, integrating AI strategically will be key to sustaining growth and meeting customer expectations as competition increases.

This recognition underscores Flutterwave’s unwavering commitment to excellence, innovation, and facilitating seamless cross-border payments for all individuals and businesses.

The IPR Awards celebrates the outstanding achievements of the most innovative companies in the global money transfer sector, such as Money Transfer Operators, Banks, Fintechs, and Telcos.

The awards are in alignment with the IPR’s efforts since 2018 to foster collaboration between payments and remittance professionals, exchange best practices, and drive positive change within the industry.

Naming Flutterwave, “Company of the Year”, IPR recognizes the Company’s ongoing commitment to serving enterprise businesses with its Flutterwave for Business suite of products and retail customers through Send App by Flutterwave, its innovative cross-border remittance solution.

This award recognises Flutterwave’s forward-thinking innovations, which have enabled individuals and businesses across Africa and beyond to access simple remittance services providing millions of Africans in the diaspora with seamless cross-border transactions.

Yewande Akomolafe-Kalu, Interim head of Marketing at Flutterwave commented,

“We’re excited to be named IPR’s “Company of the Year.” This award is especially important to us because it recognizes our innovations in the payment ecosystem and the role they play in transforming cross-border transactions. With a strong focus on connecting Africa to the world and the world to Africa with seamless payment solutions, we’ve continued our continental leadership as an ecosystem enabler and an innovation trendsetter.”

Flutterwave was named Fast Company’s Most Innovative Company for Europe, the Middle East, and Africa in 2024.

The Company recently appointed a new Chief Financial Officer, Mitesh Popat, to drive its next phase of growth to create sustainable value for its customers and broader payment ecosystem in Africa.

With this award-winning digital payment platform, Network International, listed on the FTSE, is helping the local and regional markets to thrive in a challenging environment.

The company is now ready to onboard and empower banks, MNOs, and fintechs in Nigeria and throughout the West African region.

Founded 30 years ago, Network International has a rich history in the digital payment industry. The company was originally the processing arm of Emirates Bank in the UAE, but has now expanded its reach, establishing operations in countries such as Egypt and South Africa under different names. 

With two decades of experience in Nigeria, Network International continues to invest in the region, strengthening its long-standing presence and commitment to the country.

With the deployment of its flagship Network One platform on soil, Network International aligns with the Central Bank of Nigeria’s directive for in-country transaction routing, enhancing its local processing capabilities. 

The integrated platform provides banks, FIs, and fintechs with a range of payment products and services locally in Nigeria for both issuers and acquirers. 

The suite is complemented by a variety of value-added services such as digital, loyalty, tokenisation, enterprise fraud prevention, embedded finance, data and advisory solutions, and many more.

Network International is strategically investing in rolling out the platform in key markets to effectively serve its local and regional clients and partners across the MEA region.

Nandan Mer, Group CEO, Network International, said: “This major milestone took us only a few months to deploy thanks to a local team that worked tirelessly and seamlessly with cross-functional colleagues in various geographies to ensure we deliver on Network One’s promise of innovation, resilience, and agility. Taking Network One live in Nigeria is integral to our company’s continued commitment to the country and the continent.”

As the fourth-largest GDP in Africa with strong consumer spending, Nigeria is ripe for a digital payments boom. Total transaction value in the domestic digital payments market is projected to reach $21.32 billion in 2024, with an annual growth rate (CAGR 2024-2028) of 10.06% projected to reach a total amount of $31.28 billion by 2028.

The importance of electronic payments is emphasised by the cost implications of handling cash. Cash transactions are costly due to printing, storing, and transporting physical money, which can represent 2% to 5% of a country’s total transaction costs. 

Electronic payments, on the other hand, are more secure, cost-effective, and faster, facilitating a higher velocity of money in the economy, which can lead to economic growth.

Domestic Deployment Good for Local and African Clients

The Network One platform is an integrated payment suite offering both merchant and issuer solutions, hosted and supported in-country. It relies on a consolidation of best-in-class technologies brought together to provide end-to-end payment processing capabilities in a highly adaptable environment.

Network International is strategically positioning its proprietary technology infrastructure, which is developed, hosted, and maintained on a local level, to cater to the needs of local and regional entities seeking market-relevant digital payment solutions for their consumers.

“Our presence on the ground and comprehension of the specific needs of the local market have enabled us to tailor a solution that is ideally suited for Nigerian enterprises. Our capability to establish a hub equipped with all the essential technology not only empowers our clients to enhance their value proposition but also positions Network to effectively contribute to financial inclusion and democratisation of payments, addressing the needs of a large population of consumers across the continent,” explained Dr Reda Helal Group, MD – Processing, Africa and Co-Head Group Processing, Network International.

Network International operates on a hub-and-spoke model, with Nigeria serving as the hub for West Africa and Francophone Sub-Saharan Africa. Additional hubs are located in Ghana and South Africa, allowing the company to efficiently serve its African clientele.

Swift Growth of Local Talent Yields Significant Outcomes

An important aspect of Network International’s sustained investment in Nigeria is promoting an empowered local workforce. In growing local personnel, Network collaborates and co-innovates with local banks and mobile network operators, providing proximity to small and medium-sized enterprises and payment experts, right in the heart of their operations.

As a show of its goal to enhance the local entity, the company is firming up its staff complement and will continue to enhance its resources and talents. Network recently marked its move from level 4 BBBEE status (in July 2023) to level 1 a year later as it continues to gain trust among African institutions as a payments partner of choice.

“By recruiting the right talent, we are assured that our teams in Nigeria can achieve quicker results with reduced reliance on our international teams, leading to significant operational benefits for our clients locally and regionally,” Dr Helal added.

Network International’s investments throughout Africa have led to substantial improvements in economies of scale. Consequently, the company can provide state-of-the-art technology at a lower cost than what companies might incur if developed internally. This affordability, coupled with the technology’s advanced features, appeals to a broad audience and furthers the company’s mission to expedite digital transformation across the continent.

“Network One’s successful touchdown in Nigeria embodies our ambition to establish ourselves as a company that is authentically local in the African markets we serve,” Mer concluded.

Again, the company’s mission of creating a secure digital payment sector is important for enabling trust among consumers, banks, and other stakeholders. 

Network International has invested in comprehensive cybersecurity and fraud prevention measures to ensure the safety and privacy of transactions. This includes utilising AI tools to detect potential fraud by analysing transaction patterns and device usage.

In focusing on connecting buyers and sellers through digital payments, Network International aims to reduce the reliance on cash and contribute to the growth of the Nigerian economy. The company emphasises its role in enabling financial inclusion by partnering with telcos and fintechs to reach underserved populations, including those in remote areas.

The platform’s virtual wallet proposition simplifies access to digital products for the unbanked, allowing users to obtain cards directly from their phones and load them via mobile wallets. This feature is essential for driving financial inclusion, offering banks enhanced capabilities to serve end-users efficiently.

Network International is also dedicated to corporate social responsibility, having adopted a school on the mainland to promote financial literacy among young students. This initiative is part of the company’s technique to support financial inclusion and digital transformation in Nigeria from an early age.

A collaborative industry is essential for success, with government policies playing an important role in accelerating digital payments and financial inclusion. Network International is prepared to embrace government-sponsored programs and infrastructure developments, advocating for a synergistic approach to enhance the digital economy in Nigeria.

The company’s platform connects millions of buyers and sellers, handling high transaction volumes with speed, security, and scale. Network International’s technology ensures swift and secure electronic transactions, mirroring the speed of cash exchanges, and providing reliability and trust in the digital payment sector.