The Central Bank of Nigeria (CBN) has granted MTN the final approval to operate as MoMo Payment Service Bank Limited, BusinessDay can report.
This is five months after it got an approval in principle towards the licensing of payment services.
According to a statement, MTN did not specify when operations would start but that “The date of commencement will be communicated to the CBN in accordance with its requirements.”
The telecommunication operator also affirmed its commitment towards the financial inclusion agenda of the CBN and the Federal Republic of Nigeria following the opportunity given to support its fulfillment.
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According to the apex bank guidelines, the key objective of issuing PSB licenses is to boost financial inclusion, especially in rural areas and facilitate transactions.
“To enhance financial inclusion in rural areas by increasing access to deposit products and payment or remittance services to small businesses, low-income households and other entities through high-volume low-value transactions in a secured technology-driven environment,” the CBN had stated.
PSBs are expected to function in rural regions and in areas where Nigerians do not have bank accounts. They are also expected to have at least 50 percent physical access points (kiosks) in rural areas.
