Standard Bank CEO Advocates for Accelerated Financial Inclusion Across Africa

Despite considerable strides made in recent years, Africa faces significant challenges in achieving universal banking inclusion, according to Yinka Sanni, CEO of Africa regions at Standard Bank. Sanni emphasizes the need for concerted efforts to break through the existing barriers that have left a substantial portion of the African population outside the formal banking sector.

With only 49% of Africans having joined the formal banking sector from 2011 to 2022, disparities in digital acceptance rates across different countries are stark. While South Africa, Mauritius, and Kenya have relatively high rates of account ownership and digital banking acceptance, countries like South Sudan lag far behind with a mere 6% penetration.

The growth of financial inclusion is hindered by numerous factors, including the lack of robust infrastructure, especially in internet and mobile phone networks, that restricts connectivity in certain regions. To bridge the digital divide and enhance inclusivity, attention must be paid to the quality of infrastructure and financial literacy efforts, building trust in digital systems.

Sanni underscores the benefits of an inclusive banking system, such as improved security, simplified transactions, access to financial products, and the creation of a credit history, which in turn fosters entrepreneurship and community development.

Standard Bank has taken significant steps towards financial literacy, customized solutions, and building trust, which are essential pillars in creating financially inclusive societies. The bank has reported numerous achievements, such as substantial funding for enterprise development, job preservation, and the creation of business opportunities across various African countries.

Moreover, 36,000 women in Kenya now have tailored accounts with secured loans, while financial literacy initiatives like the WalletWise radio drama in South Africa are reaching millions, demonstrating the potential of well-targeted inclusive banking efforts.

The growing role of technology, especially artificial intelligence (AI), presents an opportunity for financial institutions to leverage customer data—with consent—to improve and democratize financial services. AI can enhance educational platforms, furthering financial literacy and empowering economically disadvantaged customers.

For Africa to compete on a global, digitally-enabled stage, Sanni insists that these financial and digital strategies must be a continuous effort, with collaboration between the private sector, governments, and international partners.