The Central Bank of Nigeria (CBN) has affirmed its commitment to continually implementing additional policies aimed at addressing cybersecurity challenges, promoting innovation to safeguard the stability and integrity of the financial system.
Speaking at the Financial Institutions Training Centre (FITC) Fintech Conference in Lagos, Mr. Philip Ikeazor, the Deputy Governor for Financial Systems Stability at CBN, emphasized the imperative nature of these measures in an evolving digital landscape where trust is paramount.
The overarching theme of the event revolved around the delicate balance between performance and compliance in today’s digital era, under the banner of “Building Trust in the Digital Age.”
Ikeazor underscored the persistent threats posed by cybersecurity risks, data breaches, and digital fraud, all of which have the potential to undermine consumer trust in the financial system.
In addition to the current protocols in place, he highlighted the central bank’s efforts towards formulating new regulatory frameworks to further bolster performance standards and ensure adherence to compliance protocols.
These forthcoming regulations are slated to concentrate on two primary domains: corporate governance and licensing requisites, with the overarching goal of mitigating the risks inherent in the digital realm.
Stressing the critical importance of adapting to the digital shift, Ikeazor outlined how these regulations seek to elevate compliance levels and fortify corporate governance practices within the burgeoning fintech sector.
While acknowledging the strides made in broadening financial services access to millions of Nigerians through digital banking platforms, he cautioned that the digital transformation also poses challenges that necessitate vigilant management to uphold trust and credibility.
In advocating for a culture of unwavering compliance with legal frameworks and regulations, Ikeazor emphasized the pivotal role of financial institutions in prioritizing their compliance functions to maintain operational integrity.
Furthermore, Mrs. Chizor Malize, the Chief Convener and Chief Executive Officer of FITC, expounded on the transformative impact of fintech on the financial sector, highlighting how it has redefined customer interactions with financial services on a global scale.
She cited examples of industry disruptors like PayPal and Square, alongside innovations such as blockchain technology and mobile payment systems, which have reshaped traditional banking paradigms and enhanced consumer convenience.
Noteworthy was her recognition of Africa’s leadership in the fintech revolution, with indigenous companies like Interswitch, Flutterwave, Moniepoint, and others spearheading the region’s digital financial transformation.
Malize underscored how Nigerian banks such as Providus Bank, GTBank, and Stanbic IBTC have embraced fintech innovations to meet the evolving needs of consumers, underscoring Africa’s potential to drive financial inclusion and economic growth via digital innovations.
In her closing remarks, she emphasized the pivotal role of stringent regulation and adherence to compliance standards in ensuring the stability of the financial system, reiterating the conference’s focal point on upholding integrity to safeguard financial stability.
The News Agency of Nigeria (NAN) reported that FITC, a non-profit professional organization boasting members including the CBN, the Nigeria Deposit Insurance Corporation, and all licensed banks in Nigeria, serves as a cornerstone in promoting industry collaboration and adherence to best practices.
