‘Fintechs, Banks Must Collaborate for Nigeria’s Financial Future’
Folalumi Alaran in Abuja
A financial expert, Tolulope Sopelola, has urged deposit money banks (DMBs) and financial technology (fintech) firms in Nigeria to embrace collaboration rather than engage in unhealthy competition.
She emphasised that such synergy would enhance financial inclusion and improve the country’s financial services sector.
Speaking in an interview with our correspondent, Sopelola, who is an Associate member, Institute of Chartered Accountants of Nigeria (ICAN) cited a 2022 report by Enhancing Financial Innovation & Access (EFInA), which revealed that fintech startups attracted over $1.3 billion in investments.
This significant funding, she noted, has strengthened fintech firms’ capacity to challenge traditional banks.
“The advent of financial technology has significantly transformed the global financial ecosystem, and Nigeria is no exception,” Sopelola said.
“Fintech has revolutionised financial services by offering digital payment solutions, lending platforms, and investment tools, bringing banking to millions at their fingertips. However, its rapid rise has sparked debates about whether it is a blessing or a threat to traditional banks.”
She explained that rather than being adversaries, fintechs and banks should work together to enhance service delivery.
“The relationship between fintech and banks in Nigeria is neither purely beneficial nor detrimental. Instead, it presents an evolving landscape where opportunities and challenges coexist. While fintech has disrupted traditional banking, it has also compelled banks to innovate and improve their services,” she noted.
Highlighting ways fintechs and banks can collaborate, Sopelola stressed the need for joint innovation, cost reduction, and customer acquisition strategies.
“Instead of viewing fintech firms as competitors, banks should explore partnerships that deliver innovative solutions. Both can co-develop platforms that lower transaction costs while expanding financial access. Joint marketing efforts can also boost customer acquisition for both parties,” she said.
She further suggested that fintechs and banks should raise awareness about digital financial services and their benefits, develop tailored programs to onboard unbanked populations.
“Banks should focus on markets that fintechs are less equipped to serve, such as large-scale corporate banking and complex financial solutions,” she added.
Sopelola also called on the Central Bank of Nigeria (CBN) to strengthen regulations governing both fintechs and banks to ensure a level playing field.
“The CBN and other regulators must introduce policies that apply to both fintech and banks fairly, ensuring healthy competition. Additionally, consumer protection frameworks should be enhanced to safeguard users from fraud and data breaches,” she advised.
With Nigeria’s financial sector at a critical crossroads, she emphasised that collaboration between fintechs and traditional banks, rather than rivalry, will shape the future of financial services in the country.
