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Is digital disruption a threat or an opportunity for Nigeria's banks?
Wed, 13 Dec 2017 13:49:53 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- The role of big data and analytics in reshaping financial services delivery
- The shift towards data-driven lending decisions and the impact on traditional collateral requirements
- The convergence between financial service providers and consumer goods and services
The landscape of banking in Nigeria has undergone a significant transformation over the years, as technology continues to revolutionize the sector. In a recent interview on CNBC Africa, Paula Cemez, who heads the retail segment at Union Bank, shared insights on how digital disruption is reshaping the industry. With a focus on leveraging big data and analytics, financial institutions are adapting to meet the evolving needs of customers. Cemez highlighted the importance of data-driven lending decisions and emphasized the role of consumer behavior analysis in shaping financial services delivery. She pointed out that while regulations play a crucial role, there is a growing trend towards using data to drive lending practices rather than solely relying on traditional collateral requirements. This shift towards data-driven decision-making is seen as a game-changer in the retail banking space, with institutions like Union Bank leading the charge. Cemez also discussed the convergence between financial service providers and consumer goods and services, envisioning a future where banks operate more like 'coffee shops' offering personalized financial advice. As the industry moves towards greater collaboration and innovation, regulatory bodies such as the Central Bank of Nigeria are expected to play a key role in facilitating this evolution. Overall, the interview shed light on the opportunities and challenges presented by digital disruption in Nigeria's banking sector, emphasizing the need for adaptability and forward-thinking strategies to stay competitive in a rapidly changing environment.
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