Banking Sector

Banking that Suits Every Lifestyle: Here’s how Fidelity Bank Supports the Everyday Nigerian

Published

3 years ago

August 3, 2021

Ever committed to the well-being of Nigerians, and as an extension of its avowed desire to be the go-to bank for customers’ lifestyle needs, Fidelity Bank Plc continues to set the pace in the Nigerian financial services industry with excellent banking products and services. The bank has also received recognition for its numerous praiseworthy initiatives tailored to support Nigerians in their different pursuits.

Under the adept guidance of its CEO and Managing Director, Nneka Onyeali-Ikpe, the leading Nigerian bank continues to create a world of limitless opportunities, making financial services easy and accessible in various sectors such as SME support, digital banking, online banking, corporate banking and transformative Corporate Social Responsibility (CSR) initiatives.

In the Small and Medium-scale Enterprises (SME) sector, Fidelity Bank is topping the charts as one of the SME-friendly Nigerian banks. This ties to their recognition of the undeniable impact that SMEs have on the Nigerian economy. According to a recent report by the Nigeria Bureau of Statistics, SMEs in Nigeria have contributed about 48% of the national GDP in the last five years. With 17.4 million, they account for 84% of employment and nearly 90% of the manufacturing sector regarding the number of enterprises. To support this growth and a more robust economy, Fidelity Bank has positioned itself as a leading supporter of small businesses with a suite of tailored offerings, equipping Nigerian SMEs with the much-needed capacity for sustained business growth and entrepreneurial success. This is evident in their low-interest credit facilities with flexible collateral requirements, the Fidelity SME Academy which offers business advisory to business owners, and the critically acclaimed Fidelity SME Radio Forum. All these initiatives and more have resulted in tremendous success for the benefiting SMEs.

Going beyond SME support, the bank has also recorded remarkable strides in digital banking. Fidelity Bank currently leads a growing number of forward-looking financial institutions that are leveraging technology to create innovative products and services. The bank underwent a significant evolution of business culture over the past years to improve operational efficiency.

The impact of this business evolution can be easily seen in the bank’s recently introduced “Pay Yourself” digital service for salary earners and SMEs. This ground-breaking digital product puts customers in charge of their finances by letting them determine when they want to get paid- anytime from midnight on their official payday to the last day of the month. The product which had been piloted successfully for eleven months by their staff is now available to customers whose salaries are domiciled with Fidelity Bank. ‘Pay Yourself’ gives customers the ability to pay themselves their salary via USSD code on their mobile phones.

The Fidelity Virtual Card is another revolutionary product the bank has introduced recently to enhance its customers’ lifestyle by enabling them to carry out transactions without their physical cards. The cards can also be linked to any account and are 100 percent secure. In addition to this, the bank partnered with PayAttitude, a Nigerian fintech company, to create seamless payments and financial transactions. With this partnership, Fidelity Bank customers now have the option of carrying out transactions with just their phone numbers.

This drive by the bank to better the lives of Nigerians can also be seen in the bank’s noteworthy investments in corporate organisations. Taking cognisance of the sector’s contribution to the Nigerian economy, the bank has over time developed tailored products and services to sustain such organisations with their working capital and structured finance needs.

These services and products enable corporate organisations to own efficient Current Accounts with complimentary management of the daily cash flows. The bank also provides specific solutions such as the Working Capital Finance, which provides working capital solutions such as Trade Finance where the bank facilitates the issuance of various types of Letters of Credit, Bills for Collection, and Import Finance Facility for international trade. The bank also offers Overdraft and finances, which guarantees easy access to funding for corporates with short-term funding needs. There are also Bonds and Guarantees, which are Contingent Liabilities to guarantee performance and/or payments on contractual obligations for Large Corporates.

All of these, amongst others, solidifies the bank’s position as a customer-centered bank, with the mission to not only make financial services easy and accessible to Nigerians everywhere but, more importantly, to provide financial services that suit the Nigerian lifestyle.

Up Next

Standard Chartered Launches Easy Payment Plan For Credit Card Users

Don't Miss

Wema Bank Grows Profit Before Tax by 149 Percent to N4.3 Billion in H1 2021

Temitayo Olukoya

Comments

Banking Sector

UBA, Access Holdings, and FBN Holdings Lead Nigerian Banks in Electronic Banking Revenue

Published

2 days ago

April 24, 2024

Samed Olukoya

United Bank for Africa (UBA) Plc, Access Holdings Plc, and FBN Holdings Plc have emerged as frontrunners in electronic banking revenue among the country’s top financial institutions.

Data revealed that these banks led the pack in income from electronic banking services throughout the 2023 fiscal year.

UBA reported the highest electronic banking income of N125.5 billion in 2023, up from N78.9 billion recorded in the previous year.

Similarly, Access Holdings grew electronic banking revenue from N59.6 billion in the previous year to N101.6 billion in the year under review.

FBN Holdings also experienced an increase in electronic banking revenue from N55 billion in 2022 to N66 billion.

The rise in electronic banking revenue underscores the pivotal role played by these banks in facilitating digital financial transactions across Nigeria.

As the nation embraces digitalization and transitions towards cashless transactions, these banks have capitalized on the growing demand for electronic banking services.

Tesleemah Lateef, a bank analyst at Cordros Securities Limited, attributed the increase in electronic banking income to the surge in online transactions driven by the cashless policy implemented in the first quarter of 2023.

The policy incentivized individuals and businesses to conduct more transactions through digital channels, resulting in a substantial uptick in electronic banking revenue.

Furthermore, the combined revenue from electronic banking among the top 10 Nigerian banks surged to N427 billion from N309 billion, reflecting the industry’s robust growth trajectory in digital financial services.

The impressive performance of UBA, Access Holdings, and FBN Holdings underscores their strategic focus on leveraging technology to enhance customer experience and drive financial inclusion.

By investing in digital payment infrastructure and promoting digital payments among their customers, these banks have cemented their position as industry leaders in the rapidly evolving landscape of electronic banking in Nigeria.

As the Central Bank of Nigeria continues to promote digital payments and reduce the country’s dependence on cash, banks are poised to further capitalize on the opportunities presented by the digital economy.

Banking Sector

FMBN Set for Commercialization to Improve Affordable Mortgage Financing

Published

4 days ago

April 22, 2024

Samed Olukoya

In a bid to bolster housing delivery efficiency and enhance affordable mortgage financing for Nigerians, the Federal Mortgage Bank of Nigeria (FMBN) is gearing up for commercialization.

This move comes as part of the Nigerian government’s efforts to address the housing deficit and ensure adequate shelter for its citizens.

The Managing Director of FMBN, Shehu Osidi, made this announcement during a courtesy visit by the Federal Housing Delivery Reforms Task Team at the bank’s headquarters in Abuja.

Led by Mr. Adedeji Adesemoye and Brig. Gen. Tunde Reis, the task team discussed strategies to revitalize the housing sector, with a focus on FMBN’s pivotal role in providing affordable mortgage financing.

Osidi explained the bank’s commitment to supporting the government’s agenda of reforming and improving the housing sector, which is vital for sustainable development and enhancing citizens’ quality of life.

He underscored FMBN’s significant journey in the history of mortgage and housing finance in Nigeria and expressed optimism about the forthcoming commercialization process.

The commercialization plan involves repositioning and recapitalization efforts, following extensive engagements with the Bureau of Public Enterprise (BPE).

Osidi stressed the importance of aligning the bank’s operations with its mandate of affordable mortgage financing, ensuring that it remains a reliable partner in the quest for accessible housing solutions.

As part of its strategic blueprint, FMBN has prioritized various initiatives to enhance service delivery and operational efficiency.

Of note is the ICT project aimed at upgrading core banking applications that is almost complete and promised to revolutionize customers’ experience.

Also, amendments to the FMBN and NFH Acts are underway in the National Assembly, addressing key areas to facilitate the bank’s transformation.

Despite challenges, including performance issues with estate development loans, FMBN is determined to overcome obstacles and achieve its objectives.

The commercialization plan aligns with broader efforts to deepen reforms and foster a remarkable turnaround in the housing sector.

By focusing on process automation, cost efficiency, credit quality enhancement, and strategic partnerships, FMBN aims to catalyze sustainable growth and address the nation’s housing needs effectively.

Chairman of the Federal Housing Reforms Task Team, Adedeji Adesomoye, reiterated the committee’s mandate to review the operations and governance structures of key housing institutions.

With ambitious targets set by the government, including the construction of 20,000 housing units in 2024 and 50,000 units in subsequent years, the commercialization of FMBN marks a pivotal step towards realizing Nigeria’s housing aspirations.

As the commercialization process unfolds, FMBN stands poised to play a central role in facilitating access to affordable mortgage financing, thereby contributing to the realization of homeownership dreams for millions of Nigerians.

Banking Sector

Adesola Adeduntan’s Early Departure Prompts First Bank Holdings to Scrap Capital Raise Plans

Published

6 days ago

April 20, 2024

Samed Olukoya

First Bank Holdings Plc has decided to scrap its plans for capital raise following the early departure of its Managing Director, Adesola Adeduntan.

The decision to cancel the extraordinary general meeting (EGM), which was planned to discuss the proposed N300 billion capital raise, comes amidst Adeduntan’s resignation from his role, eight months before the scheduled expiration of his tenure.

The bank formally announced the cancellation of the EGM in a filing seen by Investors King on Friday.

The meeting, which was initially scheduled to be held virtually on April 30, 2024, aimed to seek authorization from the company’s members for the capital raise and address other related matters.

Adeduntan’s resignation, announced on the same day as the cancellation of the EGM, comes as a result of the Central Bank of Nigeria’s tenure requirements affecting bank executives.

In his retirement letter addressed to the Chairman of First Bank, Adeduntan expressed gratitude for the support received during his stewardship and highlighted the strides made by the bank during his tenure.

He stated, “During this period, the bank and its subsidiaries have undergone significant changes and broken new grounds. We have repositioned the institution as an enviable financial giant in Africa.”

Adeduntan further mentioned his decision to pursue other interests, prompting his early retirement effective April 20, 2024.

The cancellation of the capital raise plans shows the impact of Adeduntan’s departure on the bank’s strategic initiatives.

It reflects a shift in priorities for First Bank Holdings as it navigates leadership changes and seeks to chart a new course for its future direction.