The Central Bank of Nigeria (CBN) is unrelenting in ensuring that banking gets to the poor and those in the rural areas through the introduction of Agent Banking Model. The objective of the Agent banking is to grow financial inclusion and reduce unbanked population.
Like thousands of Nigerians, Rufus Ajeigbe pays almost of his utilities using the Point Of Sales (POS) machine.
Ajeigbe, the financial controller of a hardware company, says he has no worries while shopping whenever he runs out of cash because most supermarkets and bars in Lagos have a POS Machine.
Before the model was launched, thousands of Nigerians will have to hold cash otherwise, they can’t shop or pay bills.
The apex bank has been working assiduously to ensure that it reduces the number of Nigerians excluded from financial services.
The Abuja based bank will reduce the number of people excluded from financial services from 46.3 percent in 2012 to 20 percent in 2020, with specific targets for payments, savings, credit and insurance. It also aims to increase adults’ population with access to financial services to 80 percent while providing environment for businesses to thrive.
‘As of February 2016, three banks had adopted agent banking: Guarantee Trust Bank, First City Monument Bank, and Sterling Bank. Agents offer selected banking and payment services, including bank transfers, bill payments, and airtime top-up, under the auspices of the Agent Banking Framework. The three banks had a total of 737 agent,’’ according to the 2016 Brookings financial and digital inclusion project report.
‘‘In March 2016, the CBN granted approval-in-principle to Innovative, to operate as a super-agent 37 and also granted approval-in-principle to Inters witch Financial Inclusion Services in order to expand its agent network as a super-agent 38.Interswitch Financial Inclusion Services has indicated that it seeks to grow an active agent network of 150,000 people by 2020,’’ the report added.
