News Column

Value of ATM Transactions Hit N1.7 Trillion

August 22, 2014

Emma Okonji



The Central Bank of Nigeria (CBN) yesterday put the value of financial transactions carried out through automated teller machines (ATMs) as at June 2014 at N1.7 trillion, up from the N1.3 trillion it was as at 2012. Equally, the volume of ATMs deployed in the country also rose from 10, 727 in 2012 to 15,000 as at June 2014.

Director of Banking and Payment Services of CBN, Mr. Dipo Fatokun revealed this during the launch of the Glo Mobile Money in Lagos.

According to Fatokun, the value of financial transactions carried out using point of sales (PoS) terminals also rose from N57.3 billion in 2012 to N138 billion as at June 2014, while the number of PoS machines deployed across the country rose from 21,400 in 2012 to 135,000 in 2014.

He however lamented a situation where up to 46 per cent of the adult population in the country does not have access to financial services. However, Fatokun pointed out that the launch of the Glo Mobile Money would provide out-of-bank financial services to Nigerians that are without access. Fatokun commended Globacom for the initiative, which he said would help deepen the cashless policy of the CBN.

Globacom collaborated with Ecobank, First Monie of First Bank, Stanbic IBTC Bank and Zenith Bank to launch the 'Glo Exchange', which is the authorised mobile money agent platform for the telecoms company that allows customers to save money, transfer money, and pay bills from the comfort of their mobile phones with Glo network.

According to Fatokun, the licensing of mobile money agents and banks in 2010 by the CBN has helped immensely to drive cashless transactions and financial inclusion in the country.

Although he said so much had been achieved in driving cashless initiative in the country since 2010, he stressed that a lot still needed to be done. "Nigeria could surpass the feat already made by Kenya with MPESA, since Nigeria's population is four times larger than that of Kenya and our GDP is 12 times bigger than Kenya's GDP, provided the right commitment is established," Fatokun said.

Giving details of how the Glo Exchange works, Head, Post Paid of Globacom, Mr. Kamal Shonibare said the customer would have to register his mobile phone with an agent, pay some money to the agent and then transfer is immediately done to the customer's phone, who then transfers the money instantly by dialing some dedicated code numbers from the mobile phone.

The recipient, who could be some long distance away from the sender, will then go to another agent to cash the money.

Some of the partners that spoke at the event expressed confidence in the collaboration and assured Nigerians that Glo Mobile Money would revolutionise financial transactions in the country.

Executive Director of Ecobank, Mr. Kingsley Aigbokhai said the collaboration would make mobile money transaction a lot easier, saying that mobile money would help move money from the informal sector of the economy to the formal sector.

On his part, the Executive Director of Stanbic IBTC Bank, Mr. Obinnia Obajue described the as a healthy one, giving the amount of commitment put in by the bank and the telecoms company.


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Source: AllAfrica


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