In the first half of 2023, Nigerian banks continued to use fintech, earning a sizable N192.010 billion from online endeavors. This is a significant increase of 20.32% from the N159.577 billion in H1 2022.
The leading companies in terms of e-business revenue were United Bank for Africa Plc (UBA) and Access Holdings Plc, with UBA earning N51.076 billion and Access Holdings garnering N43.948 billion.
FBNH, Zenith Bank Plc, and GTCO were also among the highest-earning companies.
These Nigerian banks reported strong pre-tax profits of N1.665 trillion in H1 2023, representing a remarkable 132% increase from the N716.943 billion posted in the equivalent period of 2022, along with the e-business income upsurge.
Even with the difficulties provided by the Central Bank of Nigeria’s currency redesign and cash swap in Q1 2023, this outstanding increase in e-business revenue highlights the growing acceptance of fintech solutions in Nigeria.
Unquestionably, fintech is changing the financial services industry in the country and improving affordability, accessibility, and convenience for both consumers and enterprises.
To improve their services and meet the growing demand for digital financial services and financial inclusion, banks are increasing their infrastructure expenditures, with a clear emphasis on fintech.
The booming popularity of mobile and online banking in Nigeria is directly reflected in the increase in e-business income, demonstrating the industry’s capacity to adapt to changing consumer preferences and its preparedness to survive in the digital economy.
Revenue from electronic channels, card products, and related services are included in e-business income. These channels include mobile apps, USSD channels, ATMs, agency banking, online banking, and POS payments.
This increase bodes well for Nigeria’s banking industry, putting it as a major gainer from the growth of the digital economy.
