Due to its large agent network, African telecom operator MTN expects to breathe new life into Nigeria’s digital and mobile banking sector, according to Global Finance- the global news and insight for corporate financial professionals, has acquired a license to offer bank payment services, like its rival Airtel.
Before they begin operations, the two companies are scrambling to meet further regulatory requirements.
Nigeria is also promoting the eNaira, a digital currency issued by the central bank.
Fintech and mobile payment industry experts see the increased push into bank payment services by mobile businesses as critical to increasing financial inclusion in the country.
Airtel’s capacity was boosted as it introduced a new stakeholder in Airtel Mobile Commerce through a $50 million secondary stock transaction.
“With massive current customer datasets and network distribution, [MTN and Airtel] have an edge over all fintech if done well,” said Precious Chiedozie Ekezie, an Africa-based fintech and digital currency expert.
Due to the company’s experience with its MTN Mobile Money branch elsewhere in Africa, Ekezie expects MTN to launch in the next few months.
