Why We’re Setting Up Bank in Nigeria – JP Morgan

Managing Director of J.P. Morgan West Africa, Dapo Olagunju said the financial institution was influenced to set up a bank in Nigeria by the Central Bank of Nigeria’s reforms as well as the United States’ decision to deepen its presence in Nigeria.

He spoke during a panel discussion tagged: “Innovation, Investment and the Next Decade of Partnerships,” to Nigeria at the 32nd Nigerian economic summit in Abuja which was sponsored by IHS.

“J.P. Morgan coming in at this time also signifies that the impact of the reform that has been put in place in the last three or four years is almost at the same level” as a previous major shift in Nigeria’s political and economic environment, he said.

Olagunju’s comment is coming on the heels of the bank’s moves to establish a merchant banking business in Nigeria, following approval-in-principle from the CBN on October 23.

Also speaking, Gbenga Adebayo, chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), said operators needed more investment to expand network capacity, build fibre-optic infrastructure, and replace ageing equipment.

Adebayo also called for consistent government policies and stronger protection of telecoms infrastructure, citing damage to fibre-optic cables during road construction and other activities.

He said investment is needed to extend reliable connectivity beyond major urban centres and close coverage and access gaps.

Adebayo said the sector would require more skilled workers as demand for digital services grows and businesses adopt artificial intelligence.

He said: “IHS is a very strong member of ALTON and the plenary has looked at investment opportunities in our sector and we have had discussion around the impact, the social economic impact we have had and we are having.

“Today we have spoken about the investment opportunities in our sector, where we need to do a lot more in terms of fibre optic cable. We have to do a lot more in terms of building more sites, we have to do a lot more in terms of bringing capacity to improve the quality of our networks, and also as we prepare ourselves for the next frontier, which is artificial intelligence,” he added

Also, Afolabi Salisu, chairman of the senate committee on ICT and cybersecurity, said the national digital economy and e-government bill has reached its third reading and could be passed before the end of the year.