Vice President of Ghana, Dr. Mahamudu Bawumia, has emphasized the critical importance of the decisions made today in shaping the future trajectory of Africa’s FinTech and tech sectors for years to come.
He said this when he delivered an address on the second day of the 3i Africa Summit held at the Accra International Conference Centre on Tuesday, May 14, 2024.
He urged African leaders to be innovative and emphasized making good choices that will influence future progress in Fintech in Africa.
“Ladies and gentlemen, often ultimately, we stand at a pivotal juncture in the evolution of the FinTech and tech sectors in Africa, where the choices we make today will profoundly influence our trajectory for years, if not decades, to come,” Dr. Bawumia stated.
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He stressed the need for responsible innovation, advocating for a balance between pushing technological boundaries and ensuring ethical considerations and regulatory compliance.
“It is imperative that we embrace responsible innovation, creating a balance between pushing technological boundaries, and ensuring ethical considerations and regulatory compliance,”
Dr. Bawumia underscored the importance of collaboration across various stakeholders, including government entities, financial institutions, tech startups, and investors, to drive economic growth, foster financial inclusion, and enhance the quality of life for people across the continent.
“Fostering collaboration across various stakeholders, big government, financial institutions, tech startups, or investors is crucial for creating a system that not only drives economic growth but also fosters financial inclusion and improves the lives of people across the continent,”
In his address, Dr. Bawumia also highlighted the significance of digital identification and mobile money in promoting financial inclusion.
He pointed out the challenges faced by African countries in implementing individualized credit scoring systems due to the lack of unique digital IDs and traditional credit reference agency data.
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“I believe the absence of a unique digital ID, and mobile money is a factor we need to pay attention to. We do not want to promote FinTech for its own sake,”
“How do you do credit scoring in the absence of unique identities for the population? How meaningful will credit scoring be in a country where most of the population is excluded from the financial system? Dr. Bawumia added.
The Vice President commended Ghana’s initiative in licensing a new credit reference agency leveraging mobile money accounts and unique national IDs to provide credit scores to the adult population, emphasizing the potential for similar approaches in other African countries.
“In Ghana, the central bank has just licensed a new credit reference agency, which is going to leverage mobile money accounts, and the unique maximum ID and other databases to provide credit scores to the adult population. And I believe this is going to be the way for many other African countries,” he said.
The 3i Africa Summit, themed “Unleashing Africa’s FinTech and Digital Economic Potential,” has brought together diverse stakeholders from across the globe to explore opportunities for collaboration and innovation in the region’s FinTech landscape. Organized by the Bank of Ghana (BoG) and the Development Bank Ghana (DBG), in partnership with Elevandi, established by the Monetary Authority of Singapore, the summit aims to accelerate the growth of Africa’s FinTech ecosystem.
Distinguished speakers at the summit include Wamkele Mene, Secretary-General of the African Continental Free Trade Area Secretariat, and over 150 Chief Executives and Senior Executives from FinTechs and financial institutions worldwide, including Serigne Dioum, CEO of MTN Group Fintech, Dr. Patrick Saidu Conteh, CEO of Africa Fintech Network, and Saurav Bhattacharya.
