As part of efforts to deepen Nigeria’s open banking ecosystem, the Central Bank of Nigeria (CBN) has announced ongoing work to standardise Application Programming Interfaces (APIs) across the financial services sector.

This move aims to ensure secure, consistent, and interoperable data-sharing processes between banks and third-party financial technology providers.

Speaking at the second quarter of regulators forum organized by FintechNGR held in Lagos recently, the CBN Director of Payments System Policy, Mr. Musa Jimoh, disclosed that the apex bank is developing a unified API standard to streamline how fintech companies interact with multiple banks.

Themed “Beyond Compliance: Unlocking Innovation with Nigeria’s Open Banking Framework,” the event gathered key stakeholders from the financial and technology sectors.

“We are developing a unified standard so that if a fintech calls for an account balance in one bank, it works the same way across all banks,” Jimoh said. “This eliminates integration headaches and makes the system more efficient.”

According to Jimoh, the standardization effort will not only reduce complexity for developers and financial service providers but also bolster data security and ensure uniform compliance with regulatory requirements.

He also emphasized that while open banking presents significant opportunities for innovation and financial inclusion, it also opens new vulnerabilities that cybercriminals could exploit.

He urged financial institutions to prioritize data protection by investing in robust cybersecurity measures.

“Open banking involves the exchange of sensitive customer data with third-party providers, and this must be done under airtight security,” Jimoh said. “Around the world, we’ve seen how data breaches can cause catastrophic losses. Open banking must not become an open door for cybercriminals.”

According to him, the very essence of open banking is giving trusted third parties access to a customer’s account information—with the customer’s consent. Therefore, institutions must not only protect that data but also ensure customers fully understand what they are consenting to.

Jimoh highlighted the importance of customer education, warning that cybercriminals may attempt to exploit ignorance by tricking customers into sharing sensitive information under the guise of enrolling them in open banking.

“We don’t want a situation where criminals send fraudulent messages saying, ‘Send your PIN to join open banking,’” he warned. “There must be a massive sensitization effort by all financial service providers.”

He stressed that security, privacy, and consumer protection are the three pillars of a successful open banking system. Institutions, he said, must simplify consent processes and ensure customers are never misled about what they are agreeing to share.

Nigeria became the first African country to establish a formal open banking regime following the release of CBN’s Open Banking Operational Guidelines on March 7, 2023.

The guidelines define how banks and licensed third parties can access and manage customer-permissioned data securely through APIs.

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Fidelity Bank hits N1trn market cap after share price increase

By Amaka Ifeakandu

Lagos

Market capitalisation of Fidelity Bank has crossed the N1 trillion marks as the share value of the company appreciated by 1.27 percent at the close of trading.

The Cable NG reports that data from the Nigerian Exchange Group (NGX), showed the bank’s market capitalisation hit N1 trillion after its share price rose from N19.75 on Tuesday to N20 on Wednesday.

The increase moved the company’s valuation from N991.6 billion to N1 trillion.

With the development, Fidelity Bank joins the list of financial institutions with a market capitalisation of over N1 trillion.

The companies are Zenith Bank, Access Bank, United Bank of Africa (UBA), Guaranty Trust Bank (GTB), and First Bank.

On May 21, Nneka Onyeali-Ikpe, the managing director (MD) and chief executive officer (CEO) of Fidelity Bank, acquired an additional 18 million shares in the bank.

Two days later, Onyeali-Ikpe bought additional 2 million units of shares in the bank.

According to a regulatory filing on the NGX, the shares were acquired on May 22, at N18.6 each — amounting to a total value of N37.2 million.

The acquisitions increased her shareholding in the bank to 114.64 million shares — from 94.64 million held as at December 31, 2024.

In its latest financial performance report, Fidelity Bank said it reported a 167.8 percent year-on-year increase in profit before tax (PBT), which increased to N105.8 billion in the first quarter (Q1) of 2025.

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Non-Interest Finance industry expanded to N4.4trn in 2024 –  Report

By Amaka Ifeakandu

Lagos 

Nigeria’s non-interest finance industry expanded in size to over N4.4 trillion in 2024, according to the State of Enterprise report 2025 released by NigeriaNGR.

The report said that the growth recorded in the sector was driven by growing demand for ethical finance.

Presenting the report to Journalist, the Head of Research,  EnterpriseNGR Tayo Muritala said that the Non interest bank assets  with the largest share, rose to N2.85 trillion, Sukuk total stock, the second largest, totaled to N992.56 billion while deposits and loans increased by 104.05 per cent and 108.4 per cent, respectively. 

The growth in non-interest 2024 also contributed 2.1 per cent (N56.38bn) to CIT and 1.4 per cent (N32.97bn) to VAT. It explained that with 39,000 ICAN-registered accountants, 423 recognized accounting firms, and over 144,000 lawyers, the professional services sector’s influence on governance, transparency, and service delivery remains significant.

The report showed that Assets Management industry thrived in 2024 as investors pursued diversified and inflation-hedging opportunities while the Net Asset Value (NAV) of Collective Investment Schemes rose 77.68 per cent year-on-year to N3.98 trillion, led by a 79.81 per cent jump in mutual funds.

Domestic retail transactions also surged by 105.88 per cent  to N2.31 trillion, representing 48.71 per cent of total domestic transactions. It said that both the NAV of Exchange Traded Funds (ETFs) and infrastructure funds posted solid gains. 

While ETFs grew by 21.74 per cent  to N12.77 billion,  infrastructure funds increased by 39.38 per cent from N94.66 billion to N131.94 billion. Although mutual funds, from 13 to 15, valued at N52.35 billion, it reflects broadening investor interest. 

As of May 2025, the Debt Management Office (DMO) has issued seven Sukuk bonds totaling over N1.3 trillion, following the recent N300 billion Sukuk issuance in May, which was oversubscribed with total subscriptions at N2.205 trillion. 

This reflects continued strong investor interest in government-backed ethical investment instruments.

Addressing financial journalists during a press briefing the Chief Executive Officer, EnterpriseNGR, Mrs Obi Ibekwe said Nigeria demonstrated remarkable resilience in the face of global and domestic economic pressures. The country navigated macroeconomic challenges such as currency volatility, fiscal constraints, and inflation with determination. 

During this period, the Financial and Professional Services (FPS) sector stood out as a pillar of strength and adaptability while Financial institutions increased their contribution to national output. For every N100 generated, the sector accounted for N6, up from N5 the previous year.

She said we celebrate Nigeria not only as an economic force but as a nation rooted in powerful stories, diverse traditions and share values. She said that the report is a testament to the country’s vibrant cultural identity and its potential for growth and prosperity.

EnterpriseNGR is a professional policy and advocacy group, established to promote and advocate for the development of the Financial and Professional Services (FPS) sector of Nigeria, and thereby advance the transformation of Nigeria into Africa’s premier financial services centre.