Bank of Kigali plans to expand its digital banking platform

The COVID-19 pandemic has accelerated the digital transformation in various sectors, with financial institutions leading the charge. In a recent interview with CNBC Africa, Obinna Ukwuani, the Chief Digital Officer at Bank of Kigali (BK), shed light on the bank's plans to expand its digital banking platform. The pandemic forced banks to reevaluate their traditional methods of operation, realizing the importance of digital channels in serving customers efficiently. Prior to the pandemic, many transactions were conducted in person at bank branches, leading to lengthy processes and delays in service. However, with the onset of COVID-19, physical visits to branches became limited, prompting a rapid shift towards digital services. Ukwuani emphasized the need for banks to view telecom companies as competitors, as these organizations have become digitally native and set a high standard for customer experience. BK, which primarily serves government and large corporates, recognized the urgency to enhance its digital infrastructure to meet evolving customer expectations. The bank invested significantly in a new core banking system and assembled a dedicated team to develop innovative ways to serve its customers and attract the retail segment in Rwanda. Despite BK's strength in serving government and corporate clients, Ukwuani acknowledged the importance of balancing the retail segment to ensure robust deposit levels for lending operations. With digital banking becoming increasingly prevalent, the interview addressed the critical question of whether banks should prioritize digital channels over traditional brick-and-mortar operations. Ukwuani clarified misconceptions about BK's client base, highlighting the need to focus on attracting a broader customer base, including SMEs and individual retail customers. He emphasized the importance of investing in digital channels while maintaining a presence in physical branches to provide a comprehensive banking experience. As the conversation shifted towards cybersecurity concerns associated with digital financial services, Ukwuani assured that security measures were in place to protect customer accounts from fraud and unauthorized access. He detailed the multi-layered security protocols implemented across different digital channels, such as Internet Banking and USSD, to prevent account compromises. The interview delved into the challenge of shifting consumer behavior towards embracing digital financial services, particularly in markets with low internet penetration and technological literacy. Ukwuani highlighted ongoing initiatives to improve accessibility and enhance digital experiences for a wider audience, including the unbanked population. By leveraging mobile apps and Internet Banking, BK aims to cater to diverse customer segments while ensuring user-friendly interfaces and robust security features. The discussion concluded with a focus on self-service options in digital banking and BK's efforts to streamline processes for customers. Ukwuani acknowledged the importance of self-service solutions and revealed the bank's plans to introduce more convenient, user-centric features in the coming year. By prioritizing essential customer journeys and implementing advanced verification methods, BK aims to enhance the overall digital banking experience and increase customer engagement. The interview underscored BK's commitment to embracing digital innovation and aligning its services with evolving consumer needs and technological trends.