African fintech complementing banks, not disrupting them: CIB chairman

Financial technology firms in Africa are “complementing” the banking sector rather than disrupting the idea, an executive at Egypt’s biggest private-sector bank has said.

Hisham Ezz Al-Arab, chairman of Commercial International Bank (CIB), said Tuesday in which the lender was “ready” for a growing wave of fintechs in which are shaking up the financial services with brand new technologies.

“We are ready in terms of technology. We look at fintechs in addition to mobile operators in addition to payment companies as partners, we collaborate together,” he told CNBC on Tuesday.

although Al-Arab went a step further to say in which he thought fintech firms were not disruptive to the financial services.

“Fintechs in Africa generally are not disrupting the existing type although, in fact, they are complementing the existing type.”

Africa has been a key region for fintechs looking to engage citizens who haven’t previously had access to the financial services. the entire world Bank estimates in which 2 billion adults worldwide fall into the category of “underbanked” or “unbanked”, terms in which refer to people with restricted access to formal financial services.

Egypt has been generating its own efforts toward increasing financial inclusion, CIB’s Al-Arab said, adding in which the country’s central bank has established its own financial inclusion unit to address the issue.

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