The Central Bank of Nigeria (CBN) has granted final approval to telecommunication giant, MTN, to operate as Momo Payment Service Bank Limited (Momo PSB).
“MTN Nigeria Communications PIc (MN Nigeria) announces the receipt of a letter dated 8 April 2022 from the CBN addressed to Momo PSB conveying final approval to commence operations,” the statement by MTN Secretary, Uro Ukpanah, said on Monday.
“The date of commencement will be communicated to the CBN in accordance with its requirements.
“MTN Nigeria affirms its commitment towards the financial inclusion agenda of the CBN and the Federal Republic of Nigeria, and we are excited at this opportunity to support its fulfilment,” it added.
According to the statement, PSB operators provide financial services through digital means to low-income earners and people that do not use banks or banking institutions for transactions.
It added the operation will be mostly in rural regions and areas where Nigerians do not have bank accounts and should have at least 50 percent physical access points in rural areas.
With this approval, MTN Nigeria will join the likes of Moneymaster PSB, a subsidiary of Glo, and 9PSB, a subsidiary of 9mobile, to operate in the fintech space.
GIK/APA