A panel of financial experts has called for urgent reforms to Nigeria’s banking sector to stave off a potential economic crisis.
The call was made at a recent session of People’s Parliament, a virtual forum organized by the citizen advocacy group, Rescue Nigeria.
Warning that current interest rates, weak regulatory oversight, and outdated banking infrastructure could lead to significant economic disruption, the experts emphasized that immediate action was needed to restore stability and protect both businesses and individuals.
The event, titled “Getting Banking Right in Nigeria,” highlighted how high borrowing costs, fuelled by inflation and a weakening currency, are stifling economic growth and discouraging investment.
Panelists urged the Central Bank of Nigeria, CBN, to adopt a more accommodating monetary policy to ease the debt burden on Nigerians, stimulate economic activity, and create a more favorable environment for entrepreneurship.
Panelists included Sir Adegbenga Olufemi Badejo, a chartered accountant with extensive experience in accounting and consultancy; Mr. Ademola Oni, a former investment banker now in energy infrastructure; and Mr. Ibukun Akinyinka, an accountant with dual experience in Nigerian and Canadian banking.
The seasoned professionals pointed to rising dissatisfaction among Nigerian bank customers, who are grappling with poor service, high fees, frequent technical glitches, and limited access to affordable loans.
The session, moderated by renowned broadcast journalist Funke Anikeade Treasure, underscored the pressing need for reforms to address these long-standing issues.
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Among the recommended reforms, the panel stressed that banks must prioritize customer service by investing in technology and training to ensure efficient, reliable service.
They also urged banks to implement fair and transparent fee structures to prevent exploitative charges. Investment in robust digital infrastructure was another priority, aimed at minimizing system disruptions and improving the digital banking experience for customers across the country.
Additionally, the experts called on banks to embrace digital innovation to meet the evolving needs of consumers.
In terms of regulatory oversight, the panelists argued that a stronger framework is necessary to ensure accountability and protect consumers.
They recommended that the CBN should intensify its regulatory enforcement, including implementing consumer protections and stricter penalties for non-compliance.
Financial inclusion was also emphasized, with calls for banks to extend services to underserved rural areas, a move that would boost economic development and create new opportunities for millions of Nigerians.
In light of rising cybersecurity concerns, the panel advised that banks should invest in stronger defences to safeguard sensitive customer data.
The panel also discussed the role of Fintech, which they described as a beacon of hope for Nigeria’s financial sector.
They pointed to Fintech’s potential to transform financial services, especially in underserved areas, but cautioned that the sector needs regulatory support, increased digital literacy, and better internet infrastructure to reach its full potential.
Panelists urged the government to prioritize technology development to facilitate the improvements.
In closing, Rescue Nigeria, also known as the Initiative for Good and Informed Citizenship, committed to continue its advocacy for a stronger banking sector in Nigeria.
Signatories for Rescue Nigeria, Biodun Durojaiye and Tunde Odediran, reaffirmed the organisation’s pledge to work with policymakers, regulators, and industry leaders to push for a banking system that is more equitable, inclusive, and efficient.
They believe that with the right reforms, Nigeria’s banking sector could be a driver of economic growth, unlocking opportunities and improving the quality of life for all Nigerians.
