Increasingly mobile banking and e-wallets which most fintech businesses are offering have been said to have a significant impact in helping to reduce banking logjam, offering a range of alternative payment methods as well as lending and savings services to formerly unbanked people.
A recent study by McKinsey and Company indicates that digital finance has the potential to reach over 1.6 billion new retail customers in emerging economies and to increase the volume of loans extended to individuals and businesses by $2.1 trillion.
However, the progress and ambition has been amidst some resistance from some countries to adopt new technologies.
For instance, Blockchain technology continues to face widespread resistance in a number of African countries despite potential benefits in the technology promises.
Information technology is an ill wind that blows nobody any good. Although, increase technological support and collaboration with the tech community whilst deepening the Bank’s technological inclusion framework to improve its product offerings and services delivery experience.
The accuracy of that callous observation can be seen in the current labor mayhem trashing African banking sector. The pace of adoption of emerging technologies across regional countries has increased in recent years consequently impacting lives of end users. Through technological adoptability at a large scale, the illegally-striking workers are doing not exactly what is needed to bring a positive correction to the fundamentals of the banking business in Africa.
In turn, the push for digitalisation and the growing adoption of new technologies into trade finance processes is expected to help alleviate some of the sector’s regulatory concerns, helping to increase efficiency and decrease costs. The continued overhaul of the trade finance sector will allow for banks in Africa to engage more efficiently with their clients, and allow them to process higher amounts of trade finance than ever before.