The Central Bank of Nigeria [CBN] and Inlaks, the foremost fintech solution providers in Nigeria and Sub-Sahara have announced a milestone collaboration to deploy a single core and agent banking solution for over 1000 microfinance banks (MFBs).
Inlaks would implement the project under the umbrella of the National Association of Microfinance Banks Unified IT Platform (NAMBUIT) and would enable the onboarding of MFBs into the national payment system.
Since IT solution costs cover a significant portion of the MFBs operating expenses with resulting serious financial impacts on operational self-sufficiency (OSS), the NAMBUIT would therefore reduce operational cost and deepen collaboration within the MFB community.
The project would also spur significant growth in the sector by improving access to accurate, timely operational and financial reports for prompt decision-making.
Aside, the NAMBUIT project would cut the operating costs of the MFBs and provide robust core and agent banking solutions for branchless banking in the sector.
According to the Director, Other Financial Institution Supervision Department (OFIS) of the CBN, Mr. Adedeji Adesemoye, when completed, NAMBUIT would deliver numerous gains to the industry especially at the level of the economy.
These gains would include financial access, financial inclusion and sustainability of the MFBs on value chain financing and growth of the small and medium scale enterprises.
Managing Director of Inlaks, Mr. Femi Adeoti, said the pilot phase of the project would include the selected unit, state and national MFBs ahead of the nationwide deployment later in the year.
Speaking with journalists Adeoti explained that Inlaks “is positioned to execute the project based on its wealth of experience in the handling and management of similar projects across West Africa”.
NAMBUIT is a tripartite partnership involving the CBN, Inlaks and National Association of Microfinance Banks (NAMB).