*The Central Bank of Nigeria has charged the commercial banks to note Nigeria鈥檚 population is largely dominated by the Millennials and Gen-Z, as it has become imperative for banks to provide services suited for the demographic, if they are to remain in business for the long run

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The Central Bank of Nigeria (CBN) has urged commercial banks to reduce bank charges and tailor financial services to meet the needs and attract the 鈥渕illennials and Gen-Z鈥�, who form the larger part of the West African country鈥檚 population, into the financial sector of the economy.

Aisha Ahmad, Deputy Governor, Financial System Stability at CBN, stated this at the Financial Institutions Training Centre鈥檚 (FITC) launch of the Millennial & Gen-Z Banking Survey Report, titled: 鈥楾apping the Millennial & Gen Z Markets: Redefining Opportunities for Financial Services Growth鈥�, at the weekend in Lagos.

Ms. Chizor Malize, Managing Director/CEO of FITC

The CBN Deputy Governor said in view of Nigeria鈥檚 population largely dominated by the Millennials and Gen-Z, it has become pertinent for banks to take providing services suited for that demographic if they are to remain in business for the long run.

Ahmad also stated: 鈥淎 lot has happened in the industry, and there has been a lot of transformation, a lot of innovation, and digital technology has come into change the way financial services are delivered.

鈥淎lso, most importantly to change the way people and different segments use financial services.

鈥淎nd that is why this report is important because it focuses on a very important and strategic segment for banks and non-bank financial institutions and that is the millennials and Gen-Z.鈥�

The CBN chief further noted: 鈥淣igeria鈥檚 population is significantly youthful so this is a very huge target area for financial institutions.

鈥淭he report provides insights into the way they relate to financial institutions, their expectations from their banks and other financial service providers, the kind of services they want, and the kind of value-added solution they expect.鈥�

On banking transaction charges, which several consumers have complained about over time, the Deupty Governor, Financial System Stability of CBN, explained: 鈥淭he CBN provides guidelines on the maximum financial service providers should take.

鈥淥ur expectation is that as they continue to use shard services because the conversation on charges is the cost of providing financial services.

She further stated: 鈥淪o as the costs reduce, we expect that those costs reduction should be passed on to customers and that should encourage more people to patronise the system.

鈥淲e continue to encourage banks to share services, to be more efficient by using technology and with that efficiency comes savings and we expect that savings to impact positively.鈥�

Speaking on the report, Mr. Ademola Adebise, Managing Director/CEO of Wema Bank, represented by the bank鈥檚 Chief Digital Officer, Mr. Olusegun Adeniyi, noted: 鈥淩eduction of bank charges and improved services. According to the survey, millennials and Gen-Z both requested reduction in bank charges and interest rates on loans and on other product services and offerings from financial institutions.鈥�

Likewise, Ms. Chizor Malize, Managing Director/Chief Executive Officer of FITC, said: 鈥淭his survey was necessitated by the rapid changes within the financial services sector, occasioned by the advent of FinTech in Nigeria.

鈥淲ith FinTech steadily gaining ground within the Millennial and Gen-Z markets over the last few years, it became apparent that we needed a clear understanding of these target groups鈥� perception of traditional players within the Financial Services Sector.鈥�

Malize also stated: 鈥淲e recognised the need to speak directly to the Millennial and Gen-Z market, to gain a clear understanding of their perception of traditional financial services, as well as their expectations and needs.

鈥淲e deployed this survey bearing in mind that this demographic is radically different from any other before them. Their unique needs and expectations of financial services are beyond the norm.鈥�

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