Sanusi: I was wrong to delay telcos’ entry into Nigeria’s financial services

Former Central Bank of Nigeria (CBN) governor, Sanusi Lamido Sanusi, has acknowledged his mistake in obstructing telecommunication firms from entering Nigeria’s financial services sector. Speaking at the inauguration of the Access to Financial Services in Nigeria (A2F) 2026 Survey Report in Abuja, Sanusi highlighted that his decision, which he made during his tenure as CBN governor, had hindered the advancement of financial inclusion.

He attributed his choice to concerns over depositor fund safety following a banking crisis. However, reflecting on his actions, Sanusi admitted that the subsequent rise of fintechs and mobile-based financial services could have allowed telcos to accelerate financial inclusion sooner. Sanusi stressed that the policy, driven by legitimate concerns, inadvertently caused negative outcomes.

He acknowledged that if he had permitted telcos to enter the sector, financial inclusion would have advanced more rapidly. Sanusi commended subsequent CBN administrations for allowing telecommunications companies and fintech operators into the space, noting that financial inclusion has advanced more swiftly in recent years due to the reach of digital financial service providers into areas where conventional banks falter.

He encouraged the CBN and other financial regulators to analyze the substantial transaction volumes through fintech and payment platforms to convert parts of those flows into savings, insurance, and pension products. Sanusi proposed that small daily deductions from transactions could help build financial buffers for individuals who otherwise struggle to make regular contributions to formal savings or insurance schemes.

He argued that financial inclusion should offer protection against economic shocks, particularly for low-income households, farmers, and small businesses, citing examples like market fires and poor harvests. Sanusi advocated for closer collaboration among financial regulators to develop products combining savings, pensions, and insurance while leveraging existing transaction data and digital infrastructure.

He emphasized the importance of financial literacy, especially in regions with limited access to formal financial services. Sanusi underscored that financial inclusion should ultimately be measured by its impact on households' ability to build savings, access insurance, acquire pensions, and withstand economic shocks, rather than merely by the volume of financial transactions.

He stressed the need for controlling inflation, as persistent price increases erode the value of savings and weaken households' ability to build financial security. Sanusi urged policymakers to maintain focus on price stability while using the expanding digital financial infrastructure to create products connecting Nigerians to long-term financial security.