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Bullion

Keywords

Digitization, Banking, Digital-Only-Banks, Digital Strategy, Customer demand, AML/CFT concerns, Security, Online Data Analytics, Scalability, Suspicious Transactions, PEP, Know Your Customers, Enhanced Due Diligence, Enhanced Customer Due Dilligence, KYB

Abstract

The drastic digitization brought about by evolution of technology in the world has changed almost every sphere of human life with the most recent effect being moved to cashless economy, while the role of digitization in the banking sector is altering customer demand and preferences, banks are becoming digitally oriented to meet the forces of demand and supply. This has led to the birth of digital-only also called challenger bankers or branches banks as they operate without a physical location, only have a location for admin purposes or hosting their servers. This growing wave of consumer oriented banking institutions focuses on serving their clients exclusively through online means, no physical locations and focusing on real time data analytics. In this paper I will discuss digital-only banks as a changing face of banking in Nigeria, challenges and opportunities, regulatory concerns by the authority. Nigeria population demographics and how the youths will benefit from digital-only-bank, their merits and demerits, their impact on Nigeria's economy as a developing country, and how they will change the face of doing business amongst the youths in Nigeria.

Author Bio

The author is a staff of Central Bank of Nigeria

Publication Title

Bullion

Issue

4

Volume

45

First Page

3

Last Page

12

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