Access Holdings Gets CBN’s Nod For Payment Service Subsidiary – Independent Newspaper Nigeria

2022-09-23 22:39:07 By : Ms. Livia Lin

Independent Newspaper Nigeria - Breaking News from Nigeria and the World

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LAGOS – Access Holdings Plc told the investment public, through the Nigerian Exchange (NGX), that it has received a regulato­ry nod from the Central Bank of Nigeria (CBN) on its whol­ly owned payment subsidiary, Hydrogen Payment Services Company Limited (Hydro­gen).

In a filing on Wednesday signed by the company sec­retary, Sunday Ekwochi, the holding company stated that the new payment system is pro­jected to become Africa’s most powerful business network for financial service providers and other stakeholders.

According to the company, the development is part of its strategy to build a globally connected community and ecosystem.

It stated, “Access Holdings Plc, trading as Access Corpo­ration, announces today that it has received the Central Bank of Nigeria’s final approval for its wholly owned payment subsidiary, Hydrogen Payment Services Company Limited (Hydrogen).

It noted that Hydrogen has a vision to be Africa’s most powerful business network and will provide switching and payment processing services to financial service providers and other stakeholders.

Speaking on the new sub­sidiary, Dr. Herbert Wigwe, Group Chief Executive Officer, Access Corporation said, “The establishment of Hydrogen is a natural step in our aspiration to create a globally connected community and ecosystem; in­spired by Africa for the world and aligns with our mission to build and sustain one global platform, open for anyone to join where people can be con­nected to exceptional opportu­nities.”

He added, “Hydrogen will deploy cutting edge technol­ogy infrastructure, strong risk management and gov­ernment standards to provide secure, cost efficient and con­venient payment services to individuals and businesses across the African continent thereby supporting the attain­ment of the Central Bank of Nigeria’s financial inclusion strategy.”

Access Holdings, in its 2022 half year financial results, topped the list of banks in the country who generated the most from electronic business during the half year of 2022 as it generated N38.861 billion, accounting for 24.57 percent of the total amount generated by thirteen other banks.

Consequently, the revenue is generated through transac­tions like mobile applications, USSD channels, automated teller machines (ATM), agency banking, internet banking, and point of sales (PoS) payments.

Its e-business income in­creased by 29.92 percent year-on-year compared to N29.912 billion recorded in the pre­vious year. Access Holdings also led the list of Q1’22 with N20.13 billion from its elec­tronic business, accounting for 26.1 percent of the total amount generated by thirteen banks under consideration during the period.

Access Holdings Plc’s half year 2022 financial result showed gross earnings of N591.803 billion for its 2022 half-year results, representing a growth of 31.42 percent year-on-year.

In its unaudited half-year financials submitted to the Ni­geria Exchange Limited, the bank also made significant improvements across key per­formance indicators.

Analysis of the results in­dicates that the bank’s profit before tax rose marginally by 0.42 percent to N97.791 billion from N97.379 billion reported in 2021.

Profit after tax stood at N88.739 billion from N86.819 billion posted in 2021, repre­senting a marginal gain of 2.21 percent.

Interest income calculated using the effective interest rate rose by 22.51 percent to N342.530 billion from N279.594 billion re­corded in the half year of 2021.

Bamidele Ogunwusi is a financial journalist with a strong analytical mind on issues that surround the financial sector.

A graduate of Obafemi Awolowo University, Ile-Ife has garnered experience both locally and internationally in finance reporting.

He has received awards and certificates from notable organisations like: the Centre for Investigative Journalism, Lagos, Bloomberg and Press Association, UK.

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