A financial technology solutions provider in Nigeria and Sub-Saharan Africa, Inlaks, is collaborating with the Central Bank of Nigeria to deploy a single-core and agent-banking solution in almost 1,000 microfinance banks.
This project will be implemented under the auspices of the National Association of Microfinance Banks Unified IT Platform, starting from July 2017.
The Managing Director, Inlaks, Mr. Femi Adeoti, said that the company was well positioned to handle the project based on its wealth of experience in similar projects across West Africa.
He stated that the pilot phase would include selected unit, state and national microfinance banks ahead of the nationwide deployment later in the year.
Adeoti highlighted the core benefits of this project, designed, among others, to deepen financial inclusion in the country and bring a better regulatory framework for the MFBs.
He also stated that the project would significantly lower the operating costs of the MFBs by providing robust core and agent banking solutions for ‘branchless’ banking in the microfinance sector.
“It is of note that currently, Information Technology solutions costs are a significant portion of the operating expenses of the MFBs, creating serious financial impact on operational self-sufficiency. The project is therefore expected to reduce operational cost, deepen collaboration within the microfinance community and spur significant growth in the sector by improving access to accurate and timely operational and financial reports for prompt decision making,” he said.
NAMBUIT is an institutional collaboration between the CBN, Inlaks and the National Association of Microfinance Banks.
“The CBN’s Other Financial Institution Supervision Department, NAMBUIT, on completion of the project, will deliver numerous gains to the industry through financial access, inclusion and sustainability of the microfinance institutions on value chain financing and growth of the Small and Medium Enterprises,” a statement by the CBN said. Copyright PUNCH.
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from PUNCH.