Dr Kashifu Inuwa, Director General of the National Information Technology Development Agency (NITDA), has said the future of Nigeria’s banking industry will be driven less by capital accumulation and more by artificial intelligence (AI), regulatory technology (RegTech), and cyber resilience.
Inuwa made this assertion while speaking on the panel titled “The Efficiency Frontier – AI, RegTech and Cyber Resilience” at the Future of Banking Nigeria Summit organised by CNBC Africa in Lagos.
He noted that the banking sector has entered a new phase where digital trust, technology resilience, and customer confidence are now the main drivers of competitiveness.
Inuwa acknowledged the sector’s progress through past reforms, including the 2005 banking consolidation, 2009 reforms, and the ongoing recapitalisation, but stressed that the new challenge is protecting and growing capital in a digital economy. “Today’s question is no longer whether we can raise capital, but whether we can protect, preserve and grow that capital in the digital era. Trust has become the foundation of modern banking, and that trust must be built on resilient digital infrastructure and effective regulation.”
He emphasised that with digital channels now serving as the primary interface between banks and customers, uninterrupted service, strong cybersecurity, and robust technology infrastructure are critical for maintaining public confidence.
Inuwa highlighted the transformative potential of: Artificial Intelligence (AI): To boost productivity, improve decision-making, increase revenue, and deliver personalised financial services.
– RegTech: To simplify compliance, reduce operational costs, enhance transparency, and strengthen corporate governance.
He urged regulators to adapt faster to technological changes, stating: “Technology evolves much faster than traditional regulation. Regulators must work closely with innovators to create enabling frameworks that encourage innovation while protecting consumers and maintaining market confidence.”
Citing Nigeria’s growing fintech ecosystem, Inuwa noted that technology has revolutionised access to financial services, enabling remote account opening and transactions. He added that AI-powered credit assessment tools could help banks reduce lending risks and increase financing to small and medium-sized enterprises (SMEs).
Inuwa revealed that NITDA is actively developing:
– Frameworks under the National Artificial Intelligence Strategy in collaboration with the Central Bank of Nigeria (CBN) and other regulators.
– National Standards for Sovereign Cloud infrastructure and data classification to protect sensitive financial and national data.
He called for stronger collaboration among regulators, financial institutions, and technology providers to build a secure, resilient, and globally competitive financial ecosystem.
