Nigeria’s latest fintech unicorn, Moniepoint, is set to enter into the commercial banking business as it is chasing a license from the Central Bank of Nigeria (CBN).
According to TechCabal on Thursday, sources said Moniepoint is aiming to compete with more established banks and expand its footprint in the financial sector.
With a commercial banking license, Moniepoint will be able to expand its product offerings across Nigeria, including international transactions and treasury operations.
It would also be establishing physical offices like peers such as Access Bank, Ecobank, Fidelity Bank, UBA, and others. This will help it speed up its operations as some Nigerians prefer physical branches.
The publication citing people familiar with the discussion said Moniepoint could get the approval by 2025 or 2026.
This is coming after the bank attained a unicorn status last week— as it became valued at over $1 billion following fresh funding led by Development Partners International, alongside other investors like Google’s Africa Investment Fund, Verod Capital, and Lightrock.
Moniepoint alongside other payment platforms recorded massive growth as a Central Bank of Nigeria (CBN) cashless policy and Naira redesign under President Muhammadu Buhari forced many Nigerians to adopt digital transactions in 2022.
This month, the bank also appointed Mr Bayo Olujobi as its Chief Financial Officer (CFO) to complement the bank’s visionary commitment to powering financial inclusion.
These moves indicate that Moniepoint MfB is expected to consolidate its leading position as the bank for small and medium-sized businesses in Nigeria, as well as their customers and employees.
If it gets the license, Moniepoint will be able to use its vast networks of banking agents to win new customers and compete with other older established commercial banks.
The commercial bank license would also allow Moniepoint to overcome the restrictions of its microfinance bank license.
This means it will be able to reach more places like the North and offer its products beyond the South West.
