𝗡𝗶𝗴𝗲𝗿𝗶𝗮’𝘀 𝗗𝗶𝗴𝗶𝘁𝗮𝗹 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 𝗙𝗮𝗰𝗲 𝗧𝗿𝘂𝘀𝘁 𝗗𝗲𝗳𝗶𝗰𝗶𝘁 𝗮𝗻𝗱 𝗙𝗿𝗮𝘂𝗱 𝗖𝗼𝗻𝗰𝗲𝗿𝗻𝘀, 𝗦𝗮𝘆𝘀 𝗣𝗮𝗹𝗺𝗣𝗮𝘆

Lagos: PalmPay Managing Director Chika Nwosu warns that fraud risks, trust deficits, and weak integration stall Nigeria’s digital payments growth.

Speaking at the Payments Forum Nigeria (PAFON 3.0) in Lagos, Nwosu emphasised that despite improved platforms, users remain sceptical due to fears of fraud and transaction failures.

He recalled that, before 2019, transaction failures exceeded 10 per cent, eroding public confidence. “The major challenge facing the sector today is trust. Digital payment remains relatively new, and people worry about the safety of funds,” he said.

Nwosu urges sustained investment in security, innovation, and strict regulatory compliance to tackle fraud. He adds that operators must follow due process in resolving fraud cases, even under customer pressure for immediate refunds.

PalmPay and other fintech firms collaborate with regulators, including the Central Bank of Nigeria, and telecom operators to strengthen transaction security. Nwosu points to embedded finance, where payments integrate seamlessly into everyday platforms, boosting inclusion for small businesses and informal operators.

Citing World Bank data, he says that only 43 per cent of adults in sub‑Saharan Africa had formal financial access in 2017, which underscores the need for reliability, integration, and accessibility to build trust and expand adoption.