Nigeria FinTech Landscape - Impact Assessment
Nigeria FinTech Landscape - Impact Assessment
FinTechs could add up to ~$3bn through investments into the economy and ~
$1bn in additional revenues to the financial services industry in the long term
FinTech have accounted for ~10% of direct investment into Nigeria
from 2017-2019 and can contribute pre-COVID-19 estimates of up
to $3bn²....
FinTech investment in Nigeria
USD Mn
High 2019 inflow driven by
investment to Interswitch
$200mn and OPay $170mn
459
...
+
with potential impact to increase retail banking
revenues by ~$1bn by 2025
Pre-COVID estimates
650
524
Retail banking revenues
USD Mn
1,484
3,428
1,161
4,589
379
105
52
2017
2018
2019
2020F
2023F
2025F
1,944
2019
Banking
revenue pools
BAU growth
2025
Banking
revenue pools
Additional
uplift from
fintech
2025 total
banking
revenue pools
potential
Payments have the potential to financial survives revenues $1bn driven by FinTech activities
While forward funding projections depend on the complex interplay between economic activity, investor sentiment and
evolution of the COVID crisis, we expect to see a downward trend in Nigeria, similar to global trends
1. Payments, Savings, Lending (excludes wealth management)
2. Sum of $3bn includes projected figures on chart for years 2020, 2023 and 2025 and figures for 2021-$422mn, 2022- $470mn and 2024-$583mn
Source: Nigeria Bureau of Statistics, McKinsey Global Banking Pools, team analysis,
EFINA
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