Nigeria’s $1trn GDP Target Hinges On Digital Banking – FairMoney MD

The managing director of FairMoney Microfinance Bank, Henry Obiekea, has said that technology-enabled banking will serve as a significant multiplier in achieving Nigeria’s ambition of becoming a $1 trillion Gross Domestic Product (GDP) economy by 2036.

Obiekea stated this while describing 2026 as a defining year for Nigeria, as the country transitions from economic stabilisation to expansion following years of macroeconomic adjustments, including foreign exchange unification and broader structural reforms.

“With confidence gradually returning to the naira and foreign reserves now above $45 billion, the foundation for sustainable growth is finally in place,” Obiekea said.

He noted that broad participation in the financial system remains the true catalyst for national development, stressing that inclusive access to financial services is critical to unlocking productivity across sectors.

According to him, while commercial banks will continue to provide balance-sheet strength, regulatory depth and long-term capital, reliance on physical banking infrastructure alone is insufficient to serve a population exceeding 220 million people.

Obiekea maintained that technology-driven financial services would play a crucial role in expanding access, deepening inclusion and supporting Nigeria’s next phase of economic growth.

According to him, financial inclusion at scale will only happen when regulated banking meets Nigerians where they already are on their phones.

He emphasised that mobile-first and digitally delivered services are extending banking beyond brick-and-mortar locations into everyday life.

Obikea, speaking on recent milestones, said licensed microfinance banks and other regulated institutions have brought millions into the formal economy. “That is how we pushed formal financial inclusion to over 64 per cent in 2025. The last mile is no longer an afterthought,” he said.

He, however, posits that, on the pathway to the federal government’s $1 trillion GDP target by 2036, efficient capital flows are indispensable. Even as he stressed that Nigeria recorded over N295 trillion in electronic payment transactions in the first quarter of 2025 alone, adding that “speed, security and reliability in payments are now the engines of modern commerce.”

He asserted while reflecting on micro, small and medium-scale enterprises, that the sector contributes nearly 48 per cent of GDP but has historically struggled to access credit. “By responsibly using alternative data, we can now provide small-ticket working capital loans, what I like to call pocket capital that helps small businesses grow into tomorrow’s corporate champions,” he explained.

He also observed that technology-enabled banking is strengthening public revenue mobilisation. “When transactions are transparent, government revenue grows organically. From stamp duties to broader tax compliance, digital finance is reinforcing fiscal sustainability,” he said.

Obiekea said Nigeria’s financial system is benefiting from a more coherent policy environment, especially with the phased rollout of the Central Bank of Nigeria’s Open Banking framework from early 2026.

While stressing that secure data-sharing standards will allow customers’ financial histories to move seamlessly across institutions, thereby strengthening trust and accountability.

He said, “At FairMoney, we see this as a social contract. Knowing that deposits are protected by NDIC insurance and backed by clear dispute-resolution mechanisms gives customers the confidence to participate fully in the economy”

Consequently, Obiekea said the future of Nigerian banking lies in structural harmony between traditional banks and technology-enabled institutions.

“When depth meets reach, and stability meets speed, financial access becomes economic resilience. That is how every Nigerian, from the Lagos professional to the rural trader, can help build our shared one-trillion-dollar future.”