Leading retail banking group, Diamond Bank Plc has recorded growth in its mobile banking revenue from N1.2bn in the first quarter of 2017 financial period to N1.8bn in the corresponding period of 2018 (year-on-year).
This was contained in bank’s 2018 first quarter unaudited financial results released on the floor of the Nigerian Stock Exchange recently.
The report revealed realignment in the bank’s group structure with a strong focus on the Nigerian market and retail business through its digital penetration strategy.
Details from the report disclosed that increases were recorded in customer acquisition through digital channels, with increases in active account ratios, and the proportion of customers’ transactions completed on its digital platforms.
The surge in account uptake convinced the Chief Executive Officer, Mr. Uzoma Dozie, to observe that “At a macro level, the year has begun with positive indicators, such as growth in Gross Domestic Product, declining inflation and rising crude oil prices. Thus, investor sentiment about the economy is becoming more positive as shown by the success of recent bond sales by the Federal Government. We expect these positive trends to continue and I am confident that Diamond Bank is well positioned to capitalise on these, particularly having disposed non-core assets to focus on the Nigerian opportunity.
“2018 will see Diamond Bank invest more in emerging businesses through an expanded loan offering and support for different activities in trade, agriculture and manufacturing. As emerging businesses continue to flourish, we will also continue to develop services and products to support their needs. “
Business Hilights recalls that the Diamond Y’ello Account (DYA), which is run in partnership with mobile telecommunications giant, MTN Nigeria, is a hybrid account that offers the over 58 million MTN subscribers a fusion of financial services and telecoms incentives such as money transfer and withdrawal, account statements confirmation and airtime purchase amongst a host of available features and benefits.
Every MTN subscriber has access to a Diamond Y’ello Account with benefits which include: easy access to open and operate a bank account through the subscriber’s mobile phone or agent network within the customer’s community, full bank services with interest payments on account balances and fund transfer services to any bank account in Nigeria.
Speaking at the launch of the account, former GMD/CEO of the bank, Dr Alex Otti, said the Diamond Y’ello Account is part of the bank’s strategic programme to reach the unbanked population with innovative and easily accessible financial solutions.
Then, Dr. Otti averred that “The Nigerian banking industry is over a hundred years old, but can only boast of only about 40 million bank accounts. In the 14years of mobile telephony in Nigeria, the telcos have grown a robust subscriber base of 120 million customers and still counting. That is why we decided to partner with one of the trusted and most extensive networks to bring our banking services closer to people who would like to bank with us but are limited by challenges within their environment.
“What we have done is to make banking more accessible to Nigerians. To open a Diamond Y’ello account, a customer only needs to have a registered MTN line and by dialing the short code *710#, the subscriber gets a full NUBAN account number delivered by SMS to his mobile phone within minutes”.
“The Diamond Y’ello Account is open to all. The Youth and Mass Market segments of the MTN subscriber base as well as the unbanked and under-banked subscribers are especially invited to take advantage of the favourable account opening requirements and convenient features of the service.”
Speaking at the event, CEO of MTN Nigeria during the launch in 2014, Mike Ikpoki disclosed that the Diamond Y’ello idea is driven by a commitment from Diamond Bank and MTN to ensure that technology is used to make life easier for people.
He said: “Technology is a tool that should make life easier for people. This product is simple and accessible to all customers on our network.”
Lending his support to the partnership, Dr. Pascal Dozie, Founder, Diamond Bank Plc and Chairman, MTN Nigeria, said that Diamond Y’ello is a hybrid account produced by two outstanding companies in their separate industries.
He said: The partnership between Diamond Bank PLC and MTN Nigeria is in support of government policies. The Diamond Y’ello Account will strengthen the cashless policy of the Central Bank of Nigeria. It will also provide gainful employment for Nigerians and other stakeholders.”
