Automated Wealth Tools to Combat Nigeria's Inflation

Feyishetan Akinyemi, representing FairMoney Microfinance Bank, articulated that automated wealth tools are essential for cushioning the impact of inflation in Nigeria. He emphasized that these tools can help customers achieve real returns on their investments, surpassing the less than five percent yield typical of standard bank accounts, which often result in negative real returns when adjusted for inflation.

Akinyemi pointed out that merely focusing on interest rates does not solve the problem of inflation; instead, a structured approach to risk and yield is necessary. FairMoney offers products like FairSave and FairTarget, which are designed to help customers save and invest effectively, ensuring they can meet their financial goals while combating inflation.

The bank's digital platform aims to lower entry barriers for wealth management, allowing even small retail savers to access high-yield investment opportunities. Akinyemi highlighted the importance of financial inclusion in achieving Nigeria's long-term economic goals, including a target GDP of $1 trillion.