Economic and Financial Review


Central Bank of Nigeria


financial digitalisation, fintech, bigtech, macroprudential policy, financial system stability


The recent spate of financial digitalisation has been revolutionary, leading to significant changes in the structure of the financial system, its operational paradigm, users’ perception and experiences, and the regulatory landscape. These developments have been driven by explosive growth of technological advancements in fintech such as big data analytics, distributed ledger technology, and artificial intelligence, among others. Digitalisation of the financial system not only offers numerous benefits but also poses significant risks to the financial system, its stakeholders, and financial stability. This paper documents these issues and, in addition provides conceptual clarifications on financial digitalisation, and highlights relevant macroprudential policy regulations aimed at managing the phenomenon and minimising risks to financial stability. The paper equally provides policy recommendations targeted at enhancing surveillance and supervision that will optimise the process to the benefit of all stakeholders.

Author Bio

Hassan Bello is the MD/CEO Nigeria Deposit Insurance Corporation, Abuja, Nigeria.

Publication Title

CBN Economic and Financial Review





First Page


Last Page



D14, D18, D44, G21, M13, M15

Recommended Citation

Bello, H. (2022). Digitalisation and Financial System Stability: what role for macroprudential policies? CBN Economic and Financial Review, 60(4). 61 - 77.



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