Grassroots Banking Gains Momentum As Fintechs Target Women Entrepreneurs

Nigeria’s drive for financial inclusion is gathering momentum at the grassroots level as fintech companies intensify efforts to bring women entrepreneurs in informal markets into the formal banking system.
Despite the rapid growth of digital financial platforms across the country, millions of Nigerian women remain excluded from formal financial services. Data from the EFInA Access to Financial Services (A2F) 2023 survey showed that 30 per cent of adult women are financially excluded, compared to 21 per cent of men, leaving about 17 million of Nigeria’s estimated 57 million adult women without access to formal or informal financial services.
The gap is more visible among women operating small businesses in informal markets, particularly across Northern Nigeria where cash transactions still dominate daily trade. Many traders continue to rely solely on physical cash, limiting access to credit facilities, savings tools and digital payment systems needed to expand their businesses.
Industry analysts said structural challenges such as low financial literacy, poor digital access and limited trust in formal banking channels continue to hinder inclusion among grassroots women entrepreneurs.
Against this backdrop, fintech firms are increasingly focusing on market women and small-scale traders as part of efforts to deepen financial inclusion nationwide.
One of such initiatives was recently implemented by PalmPay in Sabon Gari Market, Kano, and Central Market, Kaduna, where the company introduced digital banking campaigns targeted at women traders.
The programme was designed to help traders transition from cash-based transactions to digital payment systems while improving their understanding of basic financial management.
According to the company, many women in the markets had operated businesses for years without bank accounts, depending largely on cash transactions and informal record-keeping methods.
As part of the intervention, traders received financial literacy training on separating personal and business finances, inventory management and profit calculation. Participants were also assisted to open digital bank accounts and gain access to Point of Sale (POS) terminals and mobile payment tools.
The initiative also received the endorsement of the Emir of Kano, Muhammadu Sanusi II, reflecting growing institutional support for expanding financial access among underserved communities.
Analysts noted that improving women’s access to financial services could significantly boost household incomes and strengthen the contribution of female-owned businesses to local economies.
They added that while fintech adoption is rising across Nigeria, sustaining progress in underserved communities would require continued investment in digital literacy, infrastructure and trust-building initiatives tailored to women entrepreneurs.
For many traders, the adoption of digital payments is already helping to reduce risks associated with fake transfer alerts, theft and poor financial record-keeping, challenges that have long affected cash-based businesses.
Stakeholders further argued that expanding financial access for women entrepreneurs could play a critical role in accelerating small business growth and improving economic resilience across grassroots communities.

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