By Collins Nweze
The unbanked and underbanked, two groups at the centre of retail banking, need to be captured for the financial system to achieve its full potential. The KPMG Nigeria Banking Industry Customer Experience Survey says customers have expectations about how their needs will be met and meeting this requires banks deploying the right network and technology. First Bank of Nigeria Limited has through its Firstmonie Agent Banking Network created over 150,000 indirect jobs for Nigerians and executed three million transactions via 45,000 agents, writes COLLINS NWEZE.
Banking is no longer where you operate, but what you do. And doing more in today’s banking world requires the right tool, network and technology. Capturing the retail segment of the sector requires the right technology and product. The KPMG Nigeria has for the 13th consecutive year released the Banking Industry Customer Experience Survey, which showed banks playing formidable roles in the retail segment of the market. The retail segment of the report showed that FirstBank scored 71.8 percent, an improvement from 65 percent score in the 2018 survey.
The KPMG report showed that 53 percent of retail customers considered quality of service experience in choosing their bank, 13 percent chosen their bank based on financial stability while 12 percent chose their bank based on image and reputation.
For First Bank of Nigeria Limited, achieving these milestones did not come by chance. It took several decades of investment in the right technology, product and quality leadership.
As the oldest financial institution in the country, founded in 1894, FirstBank has over 28,000 Automated Teller Machines (ATMs), launched the first cash deposit ATM in Nigeria in 2011, has appointed over 45,000 FirstMonie Agents spread across the country, targeting 500,000 agents and operates in over 750 business locations. The bank has also created over 150,000 indirect jobs through the FirstMonie Agents scheme as at December 31, 2019.
Also, the bank’s alternative channels were the first to launch WhatsApp banking, among other milestones. Achieving the 80 percent financial inclusion target set by the Central Bank of Nigeria (CBN) will require the support of commercial banks and use of technology. First Bank of Nigeria is one of the financial institutions which have taken steps to make the target a reality by deploying technology in its operations by way of Agent Banking Network. FirstBank has expressed its commitment to continue to drive financial inclusion through its First-monie Agent Network in 99 per cent of the 774 local government areas and has processed over N2 trillion through the initiative.
The Firstmonie service provides financial/banking solutions to rural and semi-urban locations across the country. Such solutions include account opening, cash deposit, cash withdrawals, airtime purchase, and bill payments. Through this channel, the bank is committed to providing convenient services that engender and provides ease of access to banking products, thereby saving time and travel costs for users of the network. Speaking at the Firstmonie Agent Banking National Awards in Lagos, FirstBank’s Chief Executive Officer, Adesola Adeduntan said: “The initiative has witnessed several changes in the operating structure and value proposition of FirstBank
In December 2017, the bank ran a pilot test with over 400,000 transactions processed and following the success of the first run, it re-launched in 2018.”
According to Adeduntan, through Firstmonie, the bank has remained at the forefront of driving nation-wide inclusion, given our belief that access to financial services is part of lifting people out of poverty and fostering collective national economic development.
Adeduntan said: “The key strength of the bank’s services is to look at the gaps in the society and develop products and services that address the gap. As an integral part of our strategy, we believe in working with the CBN to improve financial inclusion index of the country. We would, at FirstBank, assist Nigeria to address poverty and hunger, thereby promoting security of life and property. Because when people are gainfully employed, the implication is that they will think less of crime.”
The bank’s Deputy Managing Director, Francis Shobo, noted that the agents are the most critical part of the ecosystem because they take deposits, make payments and open accounts, provide transfers and sell airtime at locations with little or no access to financial services. He said there are switches and the Nigeria Inter-bank Settlement System (NIBSS) has also supported the Firstmonie network. Shobo praised the CBN Governor Godwin Emefiele, stating that the the apex bank has made changes in regulation around agency banking. “They have allowed the programme to scale as much as it has scaled,” he said. At the event, 31 agents at the state level won N250,000 each, five agents N1 million each at the regional level and a grand prize of N2.5 million at the national level.
FirstBank Group Head, Marketing and Corporate Communications, Folake Ani-Mumuney, said the Bank has, through the First-monie initiative, empowered communities by connecting them to the financial system. She said the bank will continue to support Firstmonie agents. She said customers’ expectations were changing and that it’s the bank’s duty as a customer-focused bank to ensure that customers were provided with the means to carry out banking through any channel they desire. FirstBank has also recognised the opportunities for inclusive growth and influence of financial technology not just in banking but also business operations across industries.
One of the Firstmonie agents said: “I have been with Firstmonie since they started, and I can say that it has been a life-changing experience. I have been able to build trust of the communities around me as many workers in my area have forgotten the last time they visited any bank branch for basic banking services. I am a proud employer and as a result, my members of staff are well paid and comfortable.
“Firstmonie has created an enabling opportunity for dwellers of my immediate community and neighbouring towns to carry out banking transactions with less time, money, resources and risks as people don’t have to waste time embarking on long journeys to the city, added to the dangers of being robbed on the highway.’’ FirstBank has also partnered National Union of Road Transport Workers (NURTW). The deal seeks to leverage the human traffic and commercial activities at various motor parks across the country to ease access to financial services. FirstBank is also in partnership with Azuri Technologies Limited, an off-grid power distribution firm to make access to off-grid power easy, especially in rural communities, as well as other institutions, that seek to provide resources to cushion the effects of economic and social shocks on low income individuals. Under this deal, FirstBank and Azuri will co-brand and co-market Azuri’s solar home television product.
The pay-as-you-go customers will also pay for their solar photovoltaic (PV) system via FirstBank’s Firstmonie agents and mobile payment solution, thereby deepening financial inclusion. Banking with Technology Banking and technology are becoming inseparable. FirstBank under Adeduntan is driving growth and customer services with technology. The Financial Technology (Fintech) Summit organised by the bank was an opportunity for the bank to emphasise the need for technology in e-business, digital offering, agent banking, wholesale/ transaction banking, retail/consumer lending and Small and Medium Enterprises (SMEs) productivity. He noted that as a Tier-1 lender, which celebrated its 125th anniversary last March, the bank had been able to maintain its leadership position in the industry by leveraging technology to offer innovative solutions through its product offerings.
FirstBank is also taking advantage of the opportunities created by cash-less banking to innovate and give value to customers. The bank has introduced the Visa Multi Currency Card, an All-in One-Card and first of its kind to be offered by any financial institution in Nigeria. This card can be linked to four currencies: Naira, United States dollar, Euro and British Pounds Sterling accounts. With the Visa Multi-Currency card, FirstBank customers – within and outside Nigeria – can enjoy the luxury of having their local and foreign denominated accounts in any currency, linked to a single debit card.
Many banks have continued to make impact in the e-payment space. The Nigeria Postal Service and Fidelity Bank Plc have also entered into a collaboration to deploy modern banking services to Nigerians in 266 rural communities. The move is part of the measures to boost the level of financial inclusion in the country and reduce the number of those not yet in the formal financial system. Speaking at the launch of integrated banking services between Fidelity bank and NIPOST in Abuja, the bank said the collaboration would enable the bank to deploy all its banking services in 266 locations using NIPOST offices.
Access Bank Plc has introduced agency banking to deepen financial inclusion in Nigeria, to enable branches to focus more on complex customer obligations. A banking agent is defined as an authorised third party (a retail or postal outlet) contracted by a financial institution to process clients‘ transactions. The Head, Agency Banking, Access Bank, Michael Ogbaa, while introducing the bank’s Omni-channel agency banking application at the bank’s agency banking forum, in Lagos, on Tuesday decried that there are only 307,000 PoS terminals in Nigeria as at last July, of which only 167,000 are active.
Also, the adoption of e-transactions for customers earned Guaranty Trust Bank (GTBank), United Bank of Africa (UBA), and other eight banks N135.15 billion between January and September, last year. A look at the unaudited 2019 third-quarter reports of the banks, showed that their revenue from electronic transactions grew by 57 per cent as against the N86.312 billion they earned from the first 10 months of 2018.
Ecobank Nigeria to host Regional Trade Forum 2020
Ecobank Nigeria is set to host its 2020 Regional Trade Forum in Lagos.
It gathered that the forum taking place in March, will be a two-day event, providing the opportunity for exporters and importers within the African region to exhibit their products in a marketplace scenario with panel discussions by highly experienced and diversified stakeholders and leaders of thought in the industry.
Ecobank Nigeria is a member of the pan African banking group with unparalleled Africa wide Network Advantage across 33 countries catering for businesses and providing world class trade services to its customers. The Ecobank Group network has over 30 years been enhancing the financial integration of the continent. The Group provides solutions to facilitate trade in the various trade corridors and groupings across Africa
Announcing the Trade Forum in Lagos, Sunday Abah, Head Trade Finance of Ecobank Nigeria said Ecobank is using the forum to unveil its comprehensive trade solutions to its existing and prospective customers alike by sharing the various payment methods available to facilitate cross border trade throughout its network across Africa. According to him, Ecobank recognizes the role of exporters and importers in driving economies through trade.
“By creating a networking forum for importers and exporters via the trade exhibition slated for the first day of the forum, the Bank extends support to stakeholders in export and import businesses.
“Ecobank’s trade products and solutions are designed around two broad areas: Trade finance which enables customers benefit from adequate and well mitigated credit facilitation in the area of Import finance, export finance, bill discounting, trade loans, distributor finance, structured trade and commodity finance amongst others; also we do Trade Services, which gives our customers the advantage of speedy turnaround time and error free processing of Import Letters of Credit, Import collections, Customs bonds, Export collections and regional trade services amongst others,” he noted.
Ecobank’s unique intra-Africa trade solutions enable settlements of trade transactions and mitigation of payment risk; provide regional solutions and enable exporters obtain payment guarantees without the need for a letter of credit and its related costs to the importer. Ecobank works closely with clients in reviewing key factors regarding transactions processing, settlements, financing, and risk mitigation as well as credit enhancement. The bank boasts of a unique and large Pan-African platform that positions it to support trade at all levels. Its technology platform is designed to help unlock the opportunities of the continent through standardization across 33 countries, while fueling regional integration, trade and investment across borders.
The Ecobank Africa Trade Forum is expected to attract hundreds of guests and participants. Leaders from across Ecobank Group will also be attending to share their market specific trade knowledge and information.
Richard Quest Visit Management Of Fidelity Bank Plc
CNN Anchor, Richard Quest, paid a courtesy visit on the Management of Fidelity Bank Plc on Monday, February 12. During the visit, he engaged the team on several issues including SME lending and leveraging digital channels to deepen financial inclusion in Nigeria.
Fidelity Bank Trains 200 Sokoto Varsity Students in Skill Acquisition
Fidelity Bank Plc and Gazelle Academy have trained 200 undergraduates of Sokoto State University (SSU) in the acquisition of skills in fashion design, handsets repair, cocktail and make up.
Speaking at an event in Sokoto Monday, the Managing Director of Fidelity Bank, Nnamdi Nwankwo, represented by the bank’s Head of Recruitment, Chris Nnawe, said the programme under Fidelity Youth Empowerment Academy Stream 7 (YEa7) is part of the bank’s cooperate social responsibility.
“We in Fidelity bank have targeted programmes on education, environment and youth empowerment. This one you are witnessing today is part of fulfilling our promises to the society,” he said.
Nwankwo said that the programme started in 2016 at the University of Nigeria, Nsukka, stressing that since then the bank and its partner, Gazelle Academy, have visited more than five higher institutions in the country, as this one is stream 7 of the programme.
According to him, youths were trained to acquire some skills to enable them to be self reliant and also make them to be employers of labour even while in school.
He disclosed that at the end of the training, start packs will be given to each participant to aid him/her to start something of their own, adding that after the undergraduates’ education, they can seek for soft loans from the Small, Medium Enterprise (SMEs) Department of the bank.
On her part, the founder of Gazelle Academy, Mrs Muna Unuozo, said the programme was aimed at equipping the students with skills that they could use while still in school or after graduation.
She said that with the knowledge of the skill acquired, they could fend for themselves even while in school.
Speaking at the event, the Governor of Sokoto State Aminu Waziri Tambuwal thanked Fidelity Bank and Gazelle Academy for chosing the school for the programme.
Tambuwal said that as a responsible government, his administration have prioritized the welfare of the youths in the state.
He enjoined the participants to be focused and concentrate in order to benefit from the training.
Earlier, the Vice-chancellor of the university, Prof. Sani Dangogo, thanked Fidelity Bank and Gazelle Academy for the benevolent gesture, saying the training will go a long way in alleviating the financial burden of the students.
Society News1 year ago
EXCLUSIVE: The Complete Story of Dolapo Awosika, John Fashanu and Prophet Kasali Sex Mess
Crime6 days ago
Exclusive: Female Aide Fingered In Oko Oloyun’s Murder + Banking Transactions That Nailed Husband
Crime11 months ago
Unbelievable! Isolog Pry. School AKUTE Teacher Allegedly Rapes 2 Children… teacher on The Run
World News1 year ago
I laughed when I read the story that I gave Israel ultimatum to return Nnamdi Kanu – Lai Mohammed
Featured8 months ago
Lagos Property Magnate, TV Mogul In Messy Sex Scandal In Dubai
News4 months ago
Lagos Top female APC Member In Multi-Billion Naira Debt Mess + How She Is Living Fake Life
News11 months ago
NDLEA Closes In On Sanwoolu’s Aide, Funke Phillips
News3 years ago
Audu Maikori retracts statement that 5 students of Kaduna state College of Education were killed in Southern Kaduna crisis