Experts At PAFON 2.0 Underscore Ingredients For Accelerated Financial Inclusion In Nigeria

By Kingsley I. Ilechukwu, Bureau Chief, South West, Nigeria

Improved efforts at collaboration among financial service providers, telecommunications operators, and tech Startups, with conscious effort geared at consumer awareness, have been identifed as key remedies to the challenge of financial inclusion in the country.

This is the viewpoint of stakeholders that gathered for the second edition of Payment Forum Nigeria (PAFON 2.0) held recently in Lagos, south west, Nigeria.

Delivering a keynote address on the theme, “Bridging the Customer Experience Gap for Financial Inclusion Using AI”, the managing director and chief executive officer of AfriGoPay Financial Services Limited, Ebehijie Momoh (Mrs.), said that with 64 per cent of Nigerian adults being financially-included, the country had made immense progress in that regard.

Mrs. Momoh said that between 2012 till date, the country had recorded robust regulatory reforms, especially the launch of the Bank Verification Number (BVN) in 2014 making it easier to identify and track customers across different banks.

She said: “This initiative enhanced the credibility of the financial sector and increased confidence in formal banking systems.

The growth in adoption of smartphones has also helped the financial sector to leapfrog financial inclusion. Nigeria has 142.16 mobile internet subscriptions with an average consumption of ~7.04GB / month as of January 2025. If you juxtapose it to the 15.9 per cent decline in shipments of feature phones to 18.8 million units in Africa as at Q1 2024, you will understand that the uptake in smartphones has helped us a great deal.”

Mrs. Momoh, who spoke through the head of Innovation and Strategic Partnership at AfriGoPay, Munachi Duru, said the adoption of artificial intelligence banking gave birth to solutions like smile identity, a leading KYC verification provider, which  launched facial recognition capabilities in Nigeria as neobanks and commercial banks were deploying AI-based KYC verification tools, enabling cheaper and efficient customer acquisition and servicing.

In her goodwill message, MD/CEO, Shared Agent Network Expansion Facilities Limited (SANEF) Limited Mrs. Uche Uzoebo said that with progress made in accelerating financial inclusion to unbanked and underbanked communities in Nigeria, SANEF had leveraged Artificial Intelligence (AI) as the next step to advancement in financial services in the country.

Mrs. Uzoebo noted that as technology evolved rapidly within the financial ecosystem, Financial Inclusion must continue to be at the center of the nation’s progress.

According to her, agent banking had been a game-changer in expanding financial inclusion across Nigeria. Her words: “By deploying agents in underserved areas, we have brought financial services and banking products such as account opening, cash in, cash out, bill payment, transfers and other services closer to the unbanked and underserved.”

Speaking during a panel session, chairman, Lagos State Chapter of the Association of Mobile Money & Bank Agents in Nigeria (AMMBAN), , Ibirogba Oluwagunwa spoke of lack of collaboration and slow institutional drive towards AI as key barriers hindering digital inclusion.

Mr. Ibirogba harped on the need for information sharing among fintech operators, and improved free flow of information to consumers. Said he: “The human barrier angle needs to be addressed. Fintechs need to be pushed to move forward, AI cannot operate itself.”

In his contribution, managing director of PalmPay, Chika Nwosu reiterated the need to reach the consumers with simple format communication and education style.

Mr. Nwosu said operators should create awareness and design consumer-centric approach in developing any products adding this would not only draw the consumers towards the product, but also generate trust and ease the use of such products.

Focusing on the use of AI to ensure reach, inclusion and security, Azure Application and AI Specialist at Microsoft UK, Olusoji Solomon Adeyemo, spoke on the need for AI and Blockchain in the bid to extend services to rural communities and the unbanked.

According to Mr. Adeyemo, “AI, Blockchain and CBDs are shaping the future of payment, and there is a serious need for education. We need to align with global trends in new tech adoption.”

While noting that AI could ensure reach, Adeyomo said blockchain would also create digital identity that was exclusive and promote digital financial inclusion.

In her position, the customer support lead at Moniepoint MFB, Oluwabunmi Ogunyemi, proffered physical and digital meet with customers, even in rural areas, as a viable means of inclusivity.

Also speaking, the co-founder of Face Technologies UK Ltd., Olusegun Afolabi called for improved collaborations among stakeholders in the financial sector.

According to Mr. Afolabi, the fintech companies must also embrace effective identification solutions, focusing on biometrics and card technologies to ensure topnotch security for users.

Earlier in his opening remarks, co-Convener of the Forum, Peter Oluka noted that the financial inclusion journey in the country had come to a crucial juncture where over 30 million adults were still financially excluded, many of whom resided in rural areas or belonged to vulnerable demographics.

Mr. Oluka noted that despite 12 per cent growth in access to formal financial services between 2020 and 2023, as recorded by the EFInA Access to Financial Services Survey 2023, challenges still existed that hindered the unlocking of the potentials of digital payments to drive inclusive growth in Nigeria.

Oluka further posited: “As digital infrastructure grows and fintech innovation accelerates, we must channel these advancements toward building a more inclusive, secure, and trusted financial ecosystem. This is not just about transactions — it’s about empowerment, opportunity, and economic participation for all.”

Nodding in agreement, co-Convener, PAFON, Chike Onwuegbuchi reiterated the need for all stakeholders in the financial payment industry, including regulators, to participate in forums as PAFON, to map out, growth strategies with consumers and other strata of the ecosystem.

Mr. Onwuegbuchi promised to invite security stakeholders, such as the EFCC and others in subsequent editions of the event as this would help give insight into security concerns in deployment of products and services in rural and unbanked communities.

Payments Forum Nigeria (PAFON) is a platform dedicated to shaping the future of digital payments and financial services in our country.