Nigeria: CBN promotes financial literacy
The Central Bank of Nigeria (CBN) has expressed readiness to reduce the number of Nigerians that have no access to financial services from 46 per cent to 20 per cent by the year 2020. The apex bank disclosed this in a circular titled: “Exposure Draft of Financial Literacy Framework in Nigeria.”
It was addressed to banks, other financial institutions and stakeholders and obtained from the apex bank’s website.
Nigeria is one of the countries with lowest literacy level , with the literates population puts around 30 per cent. The development has affected participation in banking industry, as well as the economy.
CBN, in its review of on-going reforms said its committed to reduce financial literacy and further improve the industry.
To achieve this objective, CBN has designed a financial literacy framework that aimed at educating Nigerians to improve their understanding of financial products, develop their skills, and confidence to become more aware of financial risks and opportunities.
Subsequently, the banking watchdog has come out with an exposure draft on financial inclusion strategy in Nigeria. It said the draft would articulate a strategic direction for the implementation of financial literacy programmes in Nigeria.
The draft reads: “In continuation of the development role in the Nigerian economy, the Central Bank of Nigeria has developed an Exposure Draft on Financial Inclusion Strategy for Nigeria. The draft was prepared by a German-based Consultancy Firm, Messrs Roland Berger in collaboration with the Enhancing Financial Innovation and Access( EFINa), Lagos, Nigeria.
“The strategy is aimed at reducing the percentage of adult Nigerians excluded from financial services from 46.3 per cent as at 2010 to 20 per cent in 2012. This is with a view to enabling them to have access to financial services, engaging them in economic activities and contribute to the economic development of Nigeria.”
The statement further said CBN is soliciting for inputs from the public to enable the bank finalize the document and further achieve success. It said responses from the stakeholders would play major roles in the efforts to reduce the level of the unbanked population and further make the industry more stronger and competitve.
By Collins Nweze, The Nation