The advent of digital banking in Nigeria has been game-changing in many ways. Digital banking goes beyond just meeting the needs of individuals. It has the power to change the entire economic landscape.
Other contributions of digital banking to the Nigerian economy includes;
Provision of Financial Inclusion and Stability
Before digital banking made a splash in Nigeria, many people were left out of essential financial services offered by traditional banks. This meant a lot of people were not active players in the economy. Transactions are an important way that national economies make money; the more money a nation has in circulation, the more robust and healthy its economy is. This shows that more people are buying and selling, saving, investing and spending money. The opposite occurs when only a few people have access to funds—it signals an unstable economy.
Digital banking has made it easier for the majority of the population to access essential financial services. Digital banks have increased the number of transactions that are made daily, Just by giving better access to the masses. People are not only able to make transactions, but also increase their income—this is excellent news for the economy.
Making Space for Development of Financial Products and Services
The technology behind digital banking has helped to lower the costs associated with running traditional financial institutions. Also, technology has helped to increase the speed, security, and even transparency of transactions. The technological advancements have also made room for digital banks to develop products and services that are carefully crafted to meet the needs of the masses. This increased access to financial knowledge and products has also allowed the populace to save and invest.
Technology in the digital banking sector is steadily removing the barriers that once stopped many Nigerians from accessing financial services and products, and building up the economy. With digital technology, more people are no longer limited by distance—they can make transactions, save, and invest from the little they have.
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