Enhanced collaboration among financial service providers, telecommunication operators, and tech startups, coupled with a strong emphasis on consumer education, were highlighted as crucial for overcoming financial exclusion in Nigeria at the second edition of the Payment Forum Nigeria (PAFON 2.0), recently held in Lagos.
The theme of the forum, “Bridging the Customer Experience Gap for Financial Inclusion Using AI,” was addressed by Mrs. Ebehijie Momoh, Managing Director and CEO of AfriGoPay Financial Services Limited, in her keynote. She acknowledged Nigeria’s significant progress in financial inclusion, with 64% of Nigerian adults now included.
Mrs. Momoh pointed to key regulatory reforms since 2012, notably the 2014 launch of the Bank Verification Number (BVN), which has streamlined customer identification across banks, bolstering the financial sector’s credibility and public trust. The increasing adoption of smartphones, with 142.16 million mobile internet subscriptions and an average monthly consumption of 7.04GB as of January 2025, has further propelled financial inclusion. This contrasts sharply with the 15.9% decline in feature phone shipments in Africa during Q1 2024.
Speaking through Mr. Munachi Duru, Head of Innovation and Strategic Partnership at AfriGoPay, Mrs. Momoh noted that the integration of artificial intelligence in banking has led to innovative KYC verification solutions like Smile Identity’s facial recognition. Neobanks and commercial banks are increasingly deploying AI-powered KYC tools, resulting in more affordable and efficient customer acquisition and service delivery.
Mrs. Uche Uzoebo, MD/CEO of Shared Agent Network Expansion Facilities Limited (SANEF) Limited, emphasized the progress SANEF has made in extending financial inclusion to unbanked and underbanked communities by leveraging Artificial Intelligence. She stressed that as technology rapidly evolves, financial inclusion must remain central to Nigeria’s development. Agent banking, she stated, has been a game-changer, bringing essential financial services like account opening, cash in/out, bill payments, and transfers closer to underserved populations.
During a panel session, Mr. Ibirogba Oluwagunwa, Chairman of the Lagos State Chapter of the Association of Mobile Money & Bank Agents in Nigeria (AMMBAN), identified a lack of collaboration and slow institutional adoption of AI as significant barriers to digital inclusion. He urged greater information sharing among fintech operators and improved communication to consumers. “The human barrier angle needs to be addressed. Fintechs need to be pushed to move forward; AI cannot operate itself,” he asserted.
Mr. Chika Nwosu, Managing Director of PalmPay, echoed the need for clear and simple communication to reach consumers. He advocated for operators to prioritize consumer-centric approaches in product development to build trust and ease of use.
Focusing on the role of AI in reach, inclusion, and security, Mr. Olusoji Solomon Adeyemo, Azure Application and AI Specialist at Microsoft UK, highlighted the potential of AI and Blockchain in extending services to rural and unbanked communities. “AI, Blockchain, and CBDs are shaping the future of payment, and there is a serious need for education to align with global trends in new tech adoption,” he stated. He added that while AI can ensure reach, blockchain can create secure digital identities, further promoting digital financial inclusion.
Ms. Oluwabunmi Ogunyemi, Customer Support Lead at Moniepoint MFB, suggested a blended approach of physical and digital engagement with customers, even in rural areas, to enhance inclusivity.
Mr. Olusegun Afolabi, Co-founder of Face Technologies UK Ltd., called for stronger collaborations within the financial sector and urged fintech companies to adopt effective biometric and card-based identification solutions for enhanced user security.
Earlier, Mr. Peter Oluka, Co-Convener of the Forum, noted that Nigeria’s financial inclusion journey is at a critical point, with over 30 million adults still excluded, many in rural areas or belonging to vulnerable groups. Despite a 12% growth in access to formal financial services between 2020 and 2023, as per the EFInA Access to Financial Services Survey 2023, challenges persist in fully leveraging digital payments for inclusive growth.
He emphasized the need to direct advancements in digital infrastructure and fintech innovation towards building a more inclusive, secure, and trusted financial ecosystem, focusing on empowerment, opportunity, and economic participation for all.
Mr. Chike Onwuegbuchi, Co-Convener of PAFON, concurred, stressing the importance of forums like PAFON for all stakeholders, including regulators, to collaboratively develop growth strategies with consumers and other ecosystem players. He announced plans to involve security stakeholders like the EFCC in future editions to address security concerns related to deploying products and services in rural and unbanked communities.
Payments Forum Nigeria (PAFON) is committed to shaping the future of digital payments and financial services in Nigeria