Aig-Imoukhuede urges African banks to finance economic growth

Mr. Aigboje Aig-Imoukhuede. | FILE Photo

The Chairman of Access Holdings Plc, Aigboje Aig-Imoukhuede, has warned that Africa’s economic growth will remain constrained unless banks move beyond profitability and financial stability to finance businesses, infrastructure and job creation.

He also called for the development of globally competitive African banks, improved access to credit and deeper financial integration before the continent considers adopting a common currency.

Speaking recently at the closing session of the Africa Financial Summit 2026 in Luanda, Angola, Aig-Imoukhuede said Africa could no longer afford a financial system where banks remained profitable while businesses struggled to secure funding and millions of people faced limited economic opportunities.

“A banking system can be, well, can be as safe as you want it to be. It can be profitable, but then it can still serve an economy that is very underperforming,” he said, according to a statement.

Addressing the summit’s theme, ‘Making Capital Count: Unlocking Growth Through African Finance’, he urged governments, central banks and financial institutions to assess their performance based on their contributions to economic development and improved living standards.

He identified inadequate access to working capital as a major challenge confronting small businesses, noting that many struggle to obtain financing despite supplying goods and services to financially strong companies.

“When an SME supplies goods to a creditworthy buyer, that SME should be able to attract capital and financing at the same cost of the credit rating of that buyer immediately,” he said.

Citing India and Brazil, Aig-Imoukhuede urged African banks and regulators to adopt digital invoicing systems to improve access to business financing and support economic expansion.

He also called for increased investment of pension funds and domestic savings in infrastructure, warning against the use of short-term bank deposits to finance long-term projects.

“We can’t use bank deposits, which can be withdrawn tomorrow, to finance long-term projects which require 20-year money,” he said.

He cited the Dangote Refinery as an example of large-scale investment opportunities and warned that excessive government borrowing could restrict private-sector access to finance.

On the banking industry, Aig-Imoukhuede said the withdrawal of some international banks from Africa had created opportunities for indigenous financial institutions but cautioned that African ownership alone would not guarantee progress.

“We must translate the scale we are building into globally competitive value,” he said.

Using Access Bank’s operations in Angola as an example, he said the Group aimed to provide services capable of competing with those of leading international banks.

He urged African banks to strengthen their payment systems, international operations and connections with global financial markets.

On continental integration, Aig-Imoukhuede said fragmented markets and restrictions on cross-border activities continued to undermine Africa’s economic potential.

“Integration must precede monetary union,” he said, urging African governments to remove barriers to trade, investment and the movement of people before pursuing a common currency.

He recalled that his chief of staff was unable to accompany him to Angola because of visa difficulties, questioning how Africa could develop an integrated financial market while such restrictions persisted.

He identified compatible financial infrastructure, integrated markets and closer coordination of economic policies as priorities for the continent.