Ade Bajomo, president, FintechNGR has stated the need for the full adoption of technology to drive Nigeria’s capital market growth.
Bajomo disclosed this at the 2023 Annual Conference of the Institute of Capital Market Registrars themed “The Transformative Power of Technology in the Capital Market”, explaining the role which AI, ChatGPT, Blockchain technology, IoT among others could play in the sector while considering how to mitigate associated risk.
“Nigeria’s economy and its capital markets have experienced both growth and challenges and we have witnessed positive economic activity in various sectors.
“However, our nation faces its share of economic challenges including high inflation rates, impacting the cost of living, and currently stands at 26.72percent as at September (previously 25.8 percent), youth unemployment is currently at 53.44 percent (NBS), income inequality remains a concern, with disparities in wealth distribution. Our capital market has seen huge growth in market capitalisation this year, crossing the 70,000 mark on November 2, 2023.
“This is where these technologies step in as a transformative force, offering new possibilities and opportunities to address these economic issues and drive positive change,” he said.
The president of FintechNGR also stated the need for operators to be mindful of the potential risks in the use of the technology in our capital market including the area of cybersecurity, regulatory and compliance risk, Weak KYC/AML procedures, Digital literacy gaps among others.
Haruna Jalo-Waziri, Chief Executive Officer, Central Securities Clearing System Plc (CSCS) represented by Tobe Nnadozie, Divisional Head, Business Technology & Digital Innovation, CSCS also explained adopting technology would give rise to innovative products needed to drive and push the growth of the capital market.
He said,” “If we want this market to grow, we need to encourage fintech so that they can come in and bring very innovative products.”