A new report on the Nigerian fintech space, which was sponsored by MasterCard and MTN Group, has revealed how Nigerian fintech companies are steadily exploring new opportunities.
The report specifically mentioned companies like Cowrywise and Farmcrowdy as two prime examples of fintechs that have developed wealth management platforms.
Cowrywise, on one hand, targets Nigeria’s middle class with online investment products, while Farmcrowdy makes it possible for investors to co-own farms by providing the needful capital for farmers.
Other fintech companies are offering digital insurance coverages that encompass auto, education, health, and funeral costs.
The prices for the services are said to be as low as $0.50 per month. The report, however, noted that the growth of insur-tech services in Nigeria are quite slow when compared to what obtains in other African countries such as Kenya and Ghana.
According to a senior manager at GSMA Intelligence (Kenechi Okeleke) who was also quoted in the report, the reason for the slow pace in Nigeria is due to the country’s lack of enthusiasm for insurance in general. He said:
“Insurance has always been a small sector in financial services in Nigeria. Individuals tend not to do insurance. For big players, their main market has been the corporate sector.”
The 20-paged report titled— State of play: Fintech in Nigeria —was unveiled yesterday during a webinar that was organised by The Economist Intelligence Unit, an arm of The Economist which carried out the research. Nairametrics participated in the webinar.