Nigeria’s financial services industry has achieved significant growth in 2024, according to a new report that tracks the sector’s performance across multiple areas. The State of Enterprise 2025 Report by EnterpriseNGR reveals how banks, fintech companies, and other financial institutions have expanded their role in Nigeria’s economy.
Digital Payments Lead Africa
Nigeria now handles more digital transactions than any other African country. The report shows Nigeria processed 7.9 billion real-time transactions in 2024, which represents 2.97% of the global total of 266.2 billion transactions. This puts Nigeria ahead of South Africa’s 284 million transactions, Egypt’s 39 million, and Kenya’s 20 million transactions.
The country ranks alongside major economies like India, Brazil, Thailand, China, and South Korea in digital payment volumes. Electronic payment transactions in Nigeria reached an unprecedented quadrillion naira level, marking a 79% increase from the previous year.
Point-of-sale terminals processed ₦18.32 trillion across 1.38 billion transactions in 2024. Mobile money operators handled ₦79.55 trillion in transactions, showing a 70.6% increase from 2023. Transaction volumes grew 28%, from 3.04 billion to 3.9 billion transactions.
Banking Sector Drives Economic Growth
Banks and other financial institutions now contribute 5.8% to Nigeria’s GDP, up from previous years. This represents ₦4.58 trillion, showing a 30.9% year-on-year increase. The sector has become the fifth-largest contributor to VAT collections, generating ₦223.69 billion as of Q3 2024.
Deposit Money Banks expanded their total assets by 39.6% to ₦170.02 trillion, equivalent to 63.1% of the country’s nominal GDP. Nigerian banks invested ₦518.5 billion in technology infrastructure in 2024, representing a 109% increase from the ₦248 billion spent in 2023.
Foreign Investment Surges
The financial sector attracted approximately $3.8 billion in foreign capital, showing a 586.4% increase from $549.3 million in the same period of 2023. This represented 52.1% of total capital importation as of Q3 2024. Much of this investment came from banks raising capital to meet new Central Bank of Nigeria requirements.
Foreign participation in capital markets also increased significantly, though specific percentage figures were highlighted as key growth indicators in the report.
Fintech Growth Creates New Opportunities
The Buy Now, Pay Later market is projected to reach $2.61 billion by 2030, up from $1.42 billion in 2024. This represents an 83% growth over six years, with the sector maintaining a 23.1% compound annual growth rate between 2021 and 2024.
Nigeria now has over 400 licensed digital lenders operating in the country. These companies provide affordable credit to individuals and small businesses who lack traditional financial histories or collateral. Digital lending platforms like Renmoney and FairMoney offer quick, collateral-free loans through mobile-first platforms.
Remittances Support Economy
Nigeria remains the top recipient of remittances in Sub-Saharan Africa, receiving an estimated $19.8 billion in 2024, up from $19.55 billion in 2023. This ranks Nigeria 9th globally for remittance inflows. The Central Bank of Nigeria is considering issuing a dedicated diaspora bond in the United States in 2025, targeting up to $1 billion in subscriptions.
CBN’s 2024 policy reforms boosted remittance inflows by 63.7%, from $2.33 billion in 2023 to $3.82 billion in 2024, according to the report.
Pension and Capital Markets Grow
Pension assets under management grew by 22.6% during the period covered by the report. The Nigerian Exchange (NGX) total equity market capitalization showed a 53.4% surge, indicating strong performance in the capital markets.
The sectors covered in the report include banking, insurance, non-interest finance, capital markets, fintech, asset management, professional services, pensions, and sustainable finance.
Challenges Remain
Despite strong growth, the report identifies several challenges. The insurance sector struggles with weak enforcement of compulsory policies, low public awareness, and limited adoption at state levels. Capital markets need improved liquidity, better investor education, and regulatory reforms.
The pension industry must expand investment options, strengthen compliance, and increase adoption in both informal and public sectors. Non-interest finance requires stronger liquidity management tools.
Organization Behind the Report
EnterpriseNGR is a professional advocacy group that promotes Nigeria’s Financial and Professional Services sector. The organization aims to transform Nigeria into Africa’s leading financial services destination. CEO Obi Ibekwe said the report provides insights into how the sector performs and impacts lives while offering recommendations to address challenges across sub-sectors.
The report covers nine sub-sectors within Nigeria’s Financial and Professional Services industry and provides data-driven analysis of trends, sector shifts, and growth patterns that occurred in 2024 and early 2025.
Download the Full Report
The complete State of Enterprise 2025 Report is available for download on the EnterpriseNGR website. The report provides in-depth analysis and strategic recommendations across all nine Financial and Professional Services sub-sectors.
