Banking
How Wema Bank Paid Dividend After Rethinking Digital Strategy
On May 8, 2019, shareholders of Nigeria’s oldest indigenous lender, Wema Bank Plc, agreed to the proposed N0.03 dividend payment proposed by the management of the bank, amid celebration, as the shares of the bank listed on the Nigeria Stock Exchange (NSE) traded at N0.73 each.
The shareholders celebrated the proposed N0.03 per share dividend payout, not just because of a payout ratio of 34.79 percent but also because it was the first time they were getting any return from Wema Bank in 15 years.
The bank, founded in 1945, had survived different reforms and restructuring in the country’s economy and financial services industry.
Following the 2008 banking crisis in Nigeria which saw the collapse of many banks, Wema Bank had negative capital in excess of N66 billion and was declared a bank in grave financial situation by the banking industry regulator in Nigeria, but years of effective leadership have turned around the fortunes of the financial institution.
While the work to rebuild the lender was ongoing, shareholders had to forfeit their annual dividend as the bank was in no position to do so. However, following its capital reconstruction, a major constraint to Wema Bank’s dividend payment ability was lifted.
The journey to recapitalize Wema Bank, return it to profitability and consistently grow has been an arduous one for the management of the company and the shareholders alike, who year after year had to put up with the bank’s reasons for not paying dividend. Nevertheless, they were strong in their belief of the path the Bank has chosen to ensure growth.
For the management of Wema Bank, it was going to be difficult to get the kind of results needed for exponential growth with the traditional banking methods, which every lender in the industry already use to serve their customers.
Chances of getting bank customers to choose a new bank are getting slimmer as it was becoming very difficult to present any unique proposition.
Therefore, any bank that was keen about growth had to, either run after the unbanked and hope that would be enough, or think up something new altogether. That was what Wema Bank did.
After years of research, the management of Wema Bank concluded that the only way to achieve the kind of growth needed to deliver value to all its stakeholders was to build a bank of the future today.
In 2017, Wema Bank launched ALAT, which offers branchless banking services. It is Africa’s first digital bank and it changed everything that banking was all about in Nigeria before its arrival. It got other financial services providers thinking, with many introducing similar products/services and retooling existing infrastructure to deliver more value to customers.
While ALAT might not have been able to corner the millennial/digitally savvy consumer market for itself, it got some who did not join ALAT to start asking their banks for more.
With more than a million active customers who are enjoying the digital bank that is fast becoming part of their lifestyle, Wema Bank has through a rethink of its digital strategy which birthed ALAT, changed the game in the Nigerian banking industry and achieved its quest for exponential growth.
In 2018, the bank’s profit after tax grew 47.5 percent to N3.3 billion from N2.3 billion in 2017. Its gross earnings went up by 9.6 percent to N71.53 billion in 2018 from N65.27 billion in 2017.
ALAT played a huge role in seeing savings deposit grow by 26.2 percent to N62.89 billion in 2018 from N49.83 billion in 2017. Current account deposit also grew by 46.80 percent from N12.47 billion in 2017 to N18.30 billion.
Wema Bank’s Chairman, Mr Babatunde Kasali, said the bank remained highly committed to using it “technological edge to drive and deliver on our goals for the year”.
He added that the bank would also deepen its focus on the commercial and corporate business while it continues to leverage technology to get ahead of competitors, even in the retail space.
By Modupe Gbadeyanka
The flagship banking subsidiary of Guaranty Trust Holding Company (GTCO) Plc, Guaranty Trust Bank (GTBank) Limited, has been announced as the winner of Nigeria’s Best Digital Bank award at the Euromoney Awards for Excellence 2026.
The lender clinched this accolade at the Euromoney Awards for Excellence 2026 ceremony, held on July 17, 2026, at The Peninsula London, England, for its outstanding performance, innovation, customer service, and leadership.
GTBank’s recognition as Nigeria’s Best Digital Bank reflects its continued leadership in digital innovation and its commitment to delivering seamless, secure, and customer-centric financial solutions.
As the banking franchise of GTCO, GTBank has consistently set industry benchmarks in digital transformation, pioneering solutions that have redefined how individuals and businesses access, manage, and experience financial services.
Over the years, GTBank has transformed the banking experience through a suite of innovative digital platforms, including the GTWORLD mobile app and solutions that provide millions of customers with seamless, secure, and convenient access to financial services.
The bank continues to strengthen its digital capabilities by introducing products and services that meet evolving customer needs while maintaining the highest standards of security, reliability, and service excellence.
This latest recognition underscores the company’s position as a market leader and reflects its sustained investment in technology, operational excellence, and innovation.
“This recognition is a testament to the legacy upon which GTBank was built and the vision that continues to guide us today.
“From inception, our goal has been to deliver on the Group’s vision to make end-to-end financial services accessible to everyone by leveraging technology to remove barriers, simplify experiences, and create meaningful value for our customers,” the chief executive of GTBank, Mrs Miriam Olusanya, stated.
“While we are honoured by this recognition, we see it as an acknowledgement of what we have achieved and a motivation to do even more.
“We remain focused on raising the bar for digital banking, investing in innovative solutions, and delivering exceptional experiences that create lasting value for our customers.
“As the financial services landscape continues to evolve, we will continue to innovate, adapt, and lead with the same commitment to excellence that has defined our franchise for decades,” she added.
The Euromoney Awards for Excellence 2026 convened leading financial institutions, industry executives, and policymakers from across the globe to celebrate excellence, innovation, and leadership in the financial services sector.
By Aduragbemi Omiyale
A collaboration to enable fast money transfers into Nigeria has been entered into between Flutterwave and Xoom, PayPal’s international digital money transfer service.
The partnership allows Xoom transfers to be converted by Flutterwave and settled locally in Naira, enabling quick transfers directly into recipients’ bank accounts at Access Bank, UBA, Zenith Bank, First Bank, GTBank, and additional participating banks across Nigeria.
The deal also enables Xoom’s global network with Flutterwave’s local payout infrastructure, allowing users globally to send funds directly into Nigerian bank accounts with improved speed and efficiency.
Nigeria is the leading remittance recipient in Sub-Saharan Africa, receiving over $20 billion in personal remittances in 2024. Despite this volume, receiving international payments has historically remained complex due to FX constraints and settlement delays. This collaboration helps address those challenges in a market of more than 232 million people, where the ICT sector is projected to contribute 21 per cent of GDP by 2027.
By combining Xoom’s expansive reach with Flutterwave’s local compliance and banking partnerships, the two companies are providing a more accessible financial corridor for the continent.
Xoom, a PayPal service, is a fast and secure international digital money transfer service that enables consumers to send money, pay bills, and reload phones for friends and family in approximately 160 markets globally.
As part of PayPal’s global payments ecosystem, Xoom leverages advanced fraud protection, compliance capabilities, and a trusted global network to help millions of customers move money quickly and securely across borders.
“We’re excited to have been chosen by Xoom for their Nigeria expansion. Millions of Nigerians rely on money from abroad to support everyday needs, whether it’s families receiving help from loved ones, freelancers getting paid for their work, or individuals earning income from the global economy. This helps make it easy and more reliable for people in Nigeria to receive funds and stay connected to opportunities beyond borders,” the chief executive of Flutterwave, Mr Olugbenga GB Agboola, stated.
By Aduragbemi Omiyale
An initiative known as Nigeria Lightning Rounds, designed to expand funding opportunities for Nigerian startups and small businesses by connecting founders with local and international investors, has been launched by ProvidusUnity Bank, in partnership with US-based global venture firm and accelerator, gener8tor.
Scheduled to be held on July 15, 2026, Nigeria Lightning Rounds will feature carefully selected startups engaging with targeted investors who have expressed interest in supporting Nigerian innovation.
Participating founders will have the opportunity to pitch their businesses through focused 15-minute virtual sessions facilitated by gener8tor and ProvidusUnity Bank’s networks.
The program will focus on high-growth sectors including fintech, healthtech, manufacturing, sustainability, and AI, but welcomes SMEs from all industries, with intending participants urged to apply via https://www.gener8tor.com/lightning-rounds/nigeria.
“We recognise that access to capital remains one of the biggest challenges facing entrepreneurs in Nigeria. Through our partnership with gener8tor, we are creating a platform that connects promising Nigerian founders with investors who can provide the support required to scale their businesses,” the Head of Business Development at ProvidusUnity Bank, Mr Ernest Elue, stated.
“The partnership reinforces ProvidusUnity Bank’s commitment to strengthening Nigeria’s entrepreneurial ecosystem by supporting innovation, enabling access to opportunities, and creating pathways for businesses with high-growth potential,” he added.
Also commenting, the Director of Lightning Rounds at gener8tor, Ms Elizabeth Larios, said, “gener8tor is thrilled to partner with ProvidusUnity Bank to extend the Lightning Rounds model into Nigeria.
“This collaboration reflects our commitment to building equitable ecosystems and driving capital to the most promising and underrepresented entrepreneurs.”
Lightning Rounds are a signature initiative of gener8tor’s investment platform, which has facilitated thousands of investor-startup meetings globally. The format is optimised to eliminate friction, reduce bias in early-stage fundraising, and help founders secure capital from investors aligned with their mission and stage. gener8tor’s previous Lightning Rounds for Nigerian Founders in 2025 featured 18 participating Investors and led to 50 investment meetings facilitated.
