A Nigerian digital bank that also operates as a microfinance institution will resume issuing debit cards to its customers in November after a six-month hiatus.
Earlier, the bank had announced a halt in card issuance due to financial considerations related to partnering with international card scheme providers like Mastercard and Visa.
The pause in card issuance has allowed the bank to reevaluate its approach, select a more cost-effective provider, and improve its card delivery system.
The bank has hinted at optimizing the debit card experience for customers and businesses without disclosing the new card partner.
The bank sees issuing cards as a strategy for customer retention, given the significant debit card usage in Nigeria despite the rise of electronic payments.
While traditional banks have led the way in card adoption, fintech startups are also leveraging cards to build trust with customers.
The focus now shifts to how the bank plans to streamline its card distribution process to improve cost-efficiency.