Access Bank accelerates retail operations after Diamond Bank merger | World Finance


World Finance: Access Bank is now the largest
bank in Nigeria by customer base, following its April 2019 merger with Diamond Bank. Herbert Wigwe is Access Bank’s group managing
director and CEO; Herbert, why the merger? What strengths do the different brands bring
to the table? Herbert Wigwe: First of all, the idea was
for us to show the world that coming out of Africa we can create truly global institutions
that are digitally led, that are basically reaching out to the bottom of the pyramid. In terms of the strengths that the different
institutions brought, Access Bank on its own had built a strong wholesale business. It had also built a very strong treasury business
and was known for strong risk management. Now Diamond Bank catered for a different end
of the market. The micro-SMEs, individuals; it was a very
strong digital institution that had about 17 million customers. What did that do for us? It created an institution where we could serve
the large corporates and, using technology, basically ensure transfer of goods and services
all the way to the last mile. But I think the most important for me is the
fact that this merger, it would help ensure greater financial inclusion, greater financial
deepening, and ensure that in the 200 million -strong people in Nigeria we can basically
start to have about 100 million that are financially included. World Finance: So, how many customers does
Access Bank have now, and how is that changing the way you’re having to provide services? Herbert Wigwe: We have 29 million customers. It’s a totally different ballgame! So we’ve had to change from being a wholesale
bank that would have just put up the large corporates, or the middle corporates; to ask
ourselves, ‘What do we need to do, to make sure that payments happen seamlessly?’ Digital is the way to go to reach the bottom
of the pyramid. So in the last corporate strategic plan, we
said we wanted to become a large, diversified bank. And that was when we started creating a digital
banking division. And the whole essence was to use digital means
to start to expand our retail proposition. And it was successful. But in the one that just started, in 2018,
retail is much more important. Because we need to address some of the liquidity
and funding pressures that we may face as we grow. We need to start creating a global institution
in terms of scale; we need to create one that is digitally led, because that is the only
way for it to happen. We need to make sure we’ve created one that
is scalable, one that is also founded on very strong risk management and other governance
frameworks. World Finance: Give me some examples of the
kinds of technologies and innovations that you’re bringing to market. Herbert Wigwe: One is Access Africa. Access Africa enables us to do a couple of
things. First of all, it enables diaspora flows to
come into the continent much more easily. The second is that Access Africa enables us
to help in settling intra-African trade – and it’s encouraging it. So whether it’s trade between Nigeria and
Ghana, Nigeria and Benin, Nigeria and Togo: people can do those things instantaneously. Third, it enables us to basically do some of the things with respect to supporting international trade. This used to be the terrain of the large international
banks that left the continent. We have something called QuickBucks, which
enables people to access funding instantaneously. And I’m not talking of 10 minutes, I mean
on the minute. And we’re creating those algorithms that allow
SMEs and micro-SMEs to be able to borrow instantly – again, of course, taking risk into consideration. We also have what we call Tamada, which is
our own chatbot. And enables people to transact and do whatever
they do, through this chatbot. And this is being resolved as if it is a real-life
person. These are some of the things that we’ve brought
to the market. And I’m not just talking about Nigeria here
– it is happening in every country in which we have a presence. So, those are the big things we’re doing from
a technology standpoint. Thanks for watching. Click now to find out more about Access Bank’s
sustainability principles and its work expanding financial inclusion. Learn more at accessbankplc.com, and please
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