NCC, CBN sign MoU on mobile money, financial inclusion

As part of moves to strengthen mobile money segment of Nigeria’s information and communications technology (ICT) sector, the Nigerian Communications Commission (NCC), and the Central Bank of Nigeria (CBN), have signed a Memorandum of Understanding (MoU).

Inked by both the Executive Vice Chairman of NCC, Prof. Umar Danbatta, and the CBN Governor, Godwin Emefiele, on Tuesday in Abuja, both expressed optimism about mobile money penetration in the country.

Danbatta said the landmark event was an output of efforts by the joint committee set up by the two regulatory bodies.

“On the basis of the MoU we’ve signed, the two organisations have indicated commitment towards driving the financial inclusion in the country as well as ensuring improvement in the mobile money penetration,” he pointed out.

Earlier, Danbatta told the CBN Governor that the NCC’s digital transformation policy is aimed at improving good governance with specific emphasis on key sectors of the economy like finance, education, and transportation.

He said the Commission will not rest on its laurels until similar efforts are replicated in other sectors of the economy in the digital transformation ecosystem.

In his remarks, the CBN Governor noted that with the signing of the MoU the goal of achieving 80 per cent penetration in financial inclusion is now realisable.

“With this signing, we are now very sure that we will very easily improve the level of financial inclusion from the level it is today, which is about 40 per cent, and we set a target for ourselves by 2020  that the level of financial inclusion should increase to close to 80 per cent,” he said.

Speaking further, Emefiele said the MoU provides the framework for licensing of payment service providers, and also guides the workings of the stakeholders both in the banking and telecommunication industries about driving not just the mobile payment but also the payment system in Nigeria.

“Our teams have worked for several months trying to put together this landmark document with an intention to ensure that the NCC and the Central Bank of Nigeria can work together to produce a payment system in Nigeria, reducing cash transaction and enhancing cashless operations. It will also facilitate a more robust payment system,” he said.