Wigwe: Access Holdings Positioned to Become Largest Payment Settlement Platform In Africa
The Group Managing Director of the Corporation, Herbert Wigwe, yesterday in Lagos said the Holding company is set to become the largest payment settlement platform in Africa.
Speaking at the Statutory Meeting with shareholders, he noted that the Holding company in its bid to become Africa’s gateway to the world is set to launch a new company, Hydrogen.
He noted that with the launch of the subsidiary, Access Holdings would be supporting intra-Africa trade, adding that in partnership with some DFIs, Hydrogen would be responsible for payment across the continent.
According to him, “We share the fact with you that we wanted to be known as Africa’s gateway to the world and what that meant was that we are going to be responsible for payments across the entire continent, irrespective of where you are and where you’re transferring money from. We are going to support intra-African trade, which is a big problem today.
“The bank cannot do this alone because these are very specialist skills and it will allow us to be able to ensure that there are settlements even in countries where we don’t have a physical presence.
“The idea is that wherever you are in the world if you’re making a transfer to anybody across the continent, one out of every three transactions that come into the continent will be settled on Access Bank’s platform.”
He, however, assured shareholders that though this business would generate commissions and fees but it would not lead to significant credit risk.
He noted that, “They do have operational risk, obviously, but we do have a strong compliance process and technology platform which we will enhance to ensure that operational risks will be significantly mitigated.”
Speaking further, the GMD said plans are underway for the establishment of more subsidiaries, among which are Insurance Brokerage, Lending platform targeted at youths, among others.
He assured the shareholders that the Corporation would increase its earnings base as it continues to spread its tentacles across the continent.
“We will continue to spread across Europe to make sure that at the end of the day, perhaps ten years from now, we would have created a very strong diversified entity, not just relying on Nigeria or Africa but having a broad diversified income base with good quality earnings coming from countries where the inflation rates are less than that of the country, therefore making us much stronger franchise than any other financial institution in the continent,” Wigwe said.