As Nigeria's banking sector rapidly expands its digital footprint to deepen financial inclusion, a top executive has warned that robust cybersecurity and proactive regulation are non-negotiable for maintaining public trust.
Collaboration Replaces Silo Approach in Fight Against Fraud
Wale Williams, the Chief Information and Technology Officer (CITO) of Union Bank of Nigeria, stated that the industry's growth has simultaneously increased exposure to cyber threats, especially during high-volume periods like the festive season. He made these remarks during a recent interview on News Central.
Williams revealed a significant shift in how Nigerian banks now manage risk. The old "silo approach" has been abandoned in favour of increased collaboration between banks, telecom companies, and regulators like the Central Bank of Nigeria (CBN). This united front, he described, is crucial for effectively curbing cybercrime and fraud, a development that should reassure customers.
"Ultimately, customers should be able to transact with confidence, without fear," Williams asserted, emphasising that trust remains the "real currency of banking."
From Reactive Rules to Predictive AI-Powered Security
The technological evolution in fraud detection has been dramatic. Williams explained that systems have moved beyond basic, rule-based models that merely react to incidents. Over the past year, banks have increasingly adopted predictive frameworks powered by artificial intelligence (AI) and machine learning.
These advanced technologies analyse normal customer behaviour patterns, allowing for the instant detection of anomalies that may signal fraudulent activity. Williams credited investments in behavioural analytics and advanced threat detection tools for strengthening the sector's overall security posture.
He also praised the CBN for implementing regulations that mandate banks to deploy technology capable of identifying unusual transaction patterns. This regulatory push helps protect customers, even from their own potentially risky actions.
The Human Element: Customers as the Last Line of Defence
While technology is critical, Williams cautioned that it is not a silver bullet. He identified social engineering and phishing as the most prevalent threats targeting customers directly.
"Customers must be the last line of defence," he stressed, noting that banks have ramped up public awareness campaigns. These initiatives urgently advise customers against disclosing sensitive personal and financial information to anyone.
On the perceived tension between innovation and security, the CITO clarified that the two are now inseparable. Security measures are being embedded at the design phase of new digital products and services, ensuring that innovation does not compromise customer safety.
Looking ahead to 2026, Williams confirmed that artificial intelligence will remain central to cybersecurity strategies as digital payments and financial inclusion continue to grow across Nigeria. He assured customers that evolving technologies will keep enhancing protection against emerging threats, solidifying the foundation of trust upon which the financial system depends.
