In the first three months of 2018, a total of seven Deposit Money Banks made investments worth N8.58 billion in software development. The investments by the banks, were to drive efficient financial transactions and guard against cyber-attacks.
The banks include Access Bank Plc, First City Monument Bank (FCMB) Limited, Guaranty Trust Bank (GTBank) Plc, Sterling Bank Plc, Zenith Bank Plc, Ecobank Transnational Incorporated (the parent company of Ecobank Nigeria) and Jaiz Bank Plc.
An analysis of their Q1 results shows Ecobank’s software procurement was the highest, recording N4.32 billion in the first three months of the year. Access Bank spent N2.63 billion to deployed a new software.
Zenith Bank invested N1.41 billion in software in the first three months of the year. In a similar vein, GTBank spent N86.79 million on software. Jaiz Bank also spent N59.39 million from January to March, 2018.
Sterling Bank made N7 million investment in procuring new software in the same period. While FCMB’s spending on computer software stood at N78.64 million.
The N8.58 billion spent by these banks on software acquisition further enhance the Central Bank of Nigeria’s plan through the National Financial Inclusion Strategy (NFIS) to reduce the number of Nigerians excluded from financial services from 46.3% to 20.0% by 2020.
This would bring approximately 18 million adults into the financial services space (formal and non-formal sector). This according to the CBN, would contribute positively to economic growth, employment and wealth creation and is, therefore, crucial to reducing poverty in any economy.
Also, in a bid to counter the high rate of internet fraud in Nigeria, CBN had said it is developing a Risk Based Cyber Security Framework for financial institutions.
The CBN Governor, Godwin Emefiele, who was represented by the apex bank’s Deputy Governor, Financial System Stability, Aishah Ahmad, during the Nigeria-JP Morgan Chase Cyber Security Conference in Abuja, said the framework would ensure appropriate cyber security of data in Nigeria’s banking system.