The Central Bank of Nigeria (CBN) has disclosed that financial inclusion in Nigeria increased to 74 per cent in 2023, up from 68 per cent recorded in 2020.
Philip Ikeazor, the Deputy Governor, Financial System Stability at the Central Bank of Nigeria stated this on Tuesday in Abuja at the school mentoring programme in commemoration of the 2024 Global Money Week celebrations.
Ikeazor, who was represented by Gbadamosi Lawal Lanre, Head of Consumer Education and Evaluation Division, Consumer Protection Department of the CBN explained that one cannot divorce financial literacy and consumer Protection from financial inclusion as they are interwoven.
He added that the financial exclusion rate in Nigeria has witnessed a remarkable reduction as many people are now captured in the inclusion bracket.
“The exclusion rate has reduced to a larger extend. We have been able to achieve 74 percent as at December 2023 from 68 percent in 2020. You cannot divorce financial literacy, Consumer Protection from financial inclusion. For Nigerians to have financial well-being, financial literacy is one of the core factors to make well-being, beyond income levels for us to improve standard of living”, the Deputy Governor said.
He highlighted that one of the ways the CBN tries to ascertain the financial inclusion rate is to “institute, develop a monitoring and evaluation framework, which give an objective assessment of all CBN’s financial literacy initiatives without recourse to sentiments. What we have achieved over years is increase in financial literacy level from 13 percent to about 33 percent. Financial literacy is an embodiment of financial inclusion, it’s a factor of empowerment for financial inclusion”.
According to him, “One of the reasons concerning performance is the level of income in Nigeria, meaning the poverty level has nosedive due to the survey that we are all aware, what we have known, the World Bank report the insecurity in the North Western States of the nation”.
Ikeazor noted that this year’s edition, which is the 12th is “special due to the inclusion of safety nets for savings, how children can cultivate the habit of savings and protection of that savings, as well as teachers and those intermediaries who are involved in the teaching methodology of the school curriculum.
“One of the initiatives to make things better is to get financial literacy topics, skills and knowledge embedded in the national school curriculum. We are at drafting stage, come October we are hoping to have the final copy of the National Financial Literacy Curriculum included in the school curriculum for the next session”.
The theme for this year’s edition of Global Money Week is “Protect your money, Secure your future”, and it captures the importance of learning, from an early age, to always think about the future when making financial decisions and plans.
It emphasizes the importance of not only making money, but understanding frauds and scams, saving, and investing for your future.
Equipped with such skills at this young age, he said will enable students to achieve financial independence and a financially secure future.
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Ikeazor said, “Truth be told, having an income, and making a substantial amount of money does not guarantee financial security. What is important is your ability to develop and hone skills and attitudes to manage your financial resources to have a secure future.
“In addition to this, it is vital to know the types of frauds and scams, how to respond to scammers and various ways to protect your money online and offline. This also implies knowing how to report to a bank if you do have an encounter with scammers or fraudsters.
“In essence, the financial decisions you make today and the education you acquire today have a huge impact on your future. Therefore, when you learn these skills at a young age and with consistent practice, you will have a brighter future. So, be smart about your money while you are still young; save, budget and become educated.”
Five schools from the Federal Capital Territory (FCT), Abuja with 50 students each participated in the ceremony marking the 12th edition of the
Global Money Week.
