Nigerian businesses urged to embrace digital disruption to stay competitive

Financial technology, or Fintech, has been a disruptive force in various industries, especially banking, and according to Brett King, a Futurist, Author, and CEO of Moven, the key to Nigeria's competitiveness as a financial economy lies in how regulators respond to technological disruptions. In a recent interview with CNBC Africa's Wole Famurewa, King highlighted the importance of regulatory flexibility in driving innovation and positioning Nigeria as a leader in the Fintech space. King pointed out that traditional banking systems are built on outdated infrastructure, with mainframe computers dating back to the 1960s and slow bank-to-bank payment networks. He emphasized the need for real-time processing in financial transactions, citing the inefficiency of current systems in sending money across borders. The shift towards digital banking is not just about facilitating transactions but also reimagining the concept of a bank account to be more intelligent and adaptable to customer needs. Discussing the role of regulation in fostering Fintech innovation, King stressed that regulators play a crucial part in enabling disruption to occur. Comparing different regulatory approaches globally, he noted that countries like Singapore, Hong Kong, China, London, and Sydney have embraced regulatory changes to drive Fintech growth, while the US lags behind due to a conservative regulatory environment. In the context of Nigeria, King sees a significant opportunity for the country to dominate the African Fintech market, given its large population and increasing adoption of mobile technology. By leveraging mobile platforms for banking services such as micro-credit and savings tools, Nigeria can enhance financial inclusion and cater to the needs of a diverse customer base. King emphasized the importance of analyzing consumer behavior data to deliver personalized financial services and expand access beyond traditional bank branches. As the Fintech landscape continues to evolve, King urged Nigerian businesses to embrace digital disruption and focus on leveraging technology to enhance customer experience and drive innovation. He emphasized that regulatory flexibility will be a key differentiator for Nigeria in the global Fintech ecosystem, enabling the country to attract investment, foster entrepreneurship, and lead the way in shaping the future of finance. With the right regulatory framework and a commitment to technological adaptation, Nigeria has the potential to not only compete on a regional level but also establish itself as a hub for Fintech innovation in Africa. By prioritizing innovation, collaboration, and regulatory agility, Nigerian businesses can position themselves at the forefront of the digital revolution in financial services, unlocking new opportunities for growth and development in the evolving landscape of global finance.