Five Tier-1 Banks Facilitated N346.55tn Mobile, Internet Banking Transactions in 2023

Nume Ekeghe

With a strong digital channels penetration and adoption, FBN Holdings Plc, and four other Deposit Money Banks (DMBs) generate N346.55 trillion worth of transactions from customers using mobile and internet banking services in the 2023 financial year.

This is about 29 per cent increase over the N268.82 trillion reported in 2022 financial year. 

It was learnt that most digital transactions recorded by Nigerian banks were from mobile and internet banking services amid increasing threat in the cyberspace.

Other digital platforms are: Automated Teller Machine (ATM), Point-of-Sale (PoS), and Unstructured Supplementary Service Data (USSD).

The other banks are; Access Holdings Plc, Zenith Bank Plc, United Bank for Africa Plc and Guaranty Trust Holding Company Plc (GTCO). 

Analysis of the 2023 mobile and internet transactions showed that Zenith Bank generated the most, reporting about N100.82 trillion, an increase of 11 per cent from N90.8 trillion in 2022, while Access Holdings generated N98.14 trillion value of transactions from mobile and internet banking in 2023, representing an increase of nearly 70 per cent. 

As UBA reported N63.6 trillion value of transactions from mobile and internet banking in 2023, a growth of 17 per cent from N54.27 trillion in 2022, FBN Holdings reported N42.28 trillion worth of transactions from mobile and internet banking in 2023, 38 per cent high from NN30.6 trillion reported in 2022.

In addition, GTCO reported N41.73 trillion through mobile and internet banking services in 2023, nearly 18 per cent from N35.4 trillion reported in 2022. 

According to GTCO, it recorded a strong growth of 27 per cent in volume and 17 per cent value of Mobile banking in 2023.

“Mobile Banking value grew from N32.8 trillion in 2022 to N38.4 trillion in 2023 on the back of an 27per cent increase in volume from N625.3 million to N490.6 million from increased adoption.

“Internet Banking continues to supplement mobile app usage with strong growth recorded in both value (N3.33trillon vs N2.62 trillion) and volume (N10.9 million vs N8.8 million),” GTCO explained in a presentation to investors and analysts. 

The Group Managing Director and Chief Executive Officer, UBA, Mr. Oliver Alawuba noted that most of the Pan-African financial institution transactions are increasingly migrating to these digital channels. 

He said, “And for us, it’s a very strong growth pool for the future, and we are making all necessary investments, both in technology and in security, to ensure that we continue to grow the payments business. 

“And all of that growth in count and volume reflects in the digital banking income, which grew from N79.4 billion to N131.7 billion year-on-year, which is some 66per cent growth.”

The Group Chief Executive Officer, GTCO, Mr. Segun Agbaje, said: “The challenging operating environment of 2023 truly tested the business model we put in place for the Holding Company, for both our banking and non-banking business verticals. Also important to our success is our relentless obsession with innovation and offering great customer experiences as demonstrated by the successful redesign and upgrade of our mobile banking application, GTWorld.”