Equity, FinTechs collaborate to revolutionize digital banking

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With a growing population, increasing smartphone usage, and a youthful demographic eager for financial inclusion, experts say the banking landscape in Uganda must reshape its operations to drive the digital revolution agenda.

To this end, Equity Bank has partnered with FinTech companies under the FITSPA Association to co-create innovative digital banking solutions to boost financial inclusion and a digital economy.

The partnership was announced during an engagement held recently at Golden Tulip Canaan under the theme Building the Future of Digital Finance Together.

This collaboration highlights the growing importance of technology-driven partnerships aimed at enhancing customer experiences, addressing pain points, and promoting financial inclusion across the country.

As the adoption of digital banking channels surges across the country, stakeholders laud the transformative impact on financial inclusion, economic empowerment, and overall socio-economic development.

“The financial industry, specifically the banking sector, is no longer just about who holds a bank account but rather who builds the best ecosystems, who enables the most seamless transactions, and who truly understands the ever-changing needs of the customer. One of our product lines is the Omni student card where we digitize pocket money in schools. So, your learners, instead of transacting with cash, they use offline tools such as a wristband or a card where they go to the canteen and tap to pay,” Michael Kazoora, CEO of Xanu Technologies, explained.

The head of Personal Banking at Equity Bank, Johnson Galabuzi, detailed the bank’s dual approach to supporting FinTechs and their ecosystems.

He adds that they are integrating FinTech innovations into traditional banking services to enhance customer experiences, promote financial inclusion, and drive economic growth.

“We have a two-front approach. We deal directly with you as a FinTech, and then the approach that looks at the people that work with you. We call that the ecosystem at Equity Bank,” he explained.

Doreen Lukambwa, FITSPA Board Vice Chairperson, stressed the need for collective effort in shaping the future of digital finance.

“It’s clear that the future of digital finance cannot be built in silos. It must be forged through strategy, synergy, shared vision, co-created solutions, and to achieve that we must have candid conversations on what true collaboration looks like,” Lukambwa added.

Role of Fintechs

On fintech’s role in financial inclusion and overcoming challenges such as regulatory compliance and limited access to capital. Lukandwa, Vice President of the FITSPA Board, stresses the significance of co-creation in addressing ecosystem challenges.

Together, they are co-creating products that tackle compliance hurdles and capital constraints while extending financial services to underserved communities.

"Banks like Equity provide the trusted infrastructure that powers fintech innovation, allowing them to design intuitive, customer-centric solutions that drive progress across the sector,” she added.

As the fintech industry continues to evolve, collaborations are seen as crucial in driving financial inclusion and ensuring seamless digital transactions for businesses and individuals alike in Uganda.