VerifyMe: Digital revolution to unlock Africa’s growth

Africa is on the brink of a digital revolution, with the potential to unlock enormous economic growth. According to a recent report by VerifyMe Nigeria, in partnership with Derbeg, the continent must fully capitalize on its digital economy to realize this potential. The report highlights the rapid evolution of digital identities and their transformative impact on how Africans transact and lead their lives. Esigie Aguele, the CEO of VerifyMe, sat down with CNBC Africa to delve into the details of this groundbreaking report. The decision to conduct the report stemmed from a lack of comprehensive information on the identity ecosystem in Nigeria, despite the significant developments in the sector. The Nigerian Identity Management Commission's initiative to enhance digital identity inclusion for financial purposes and the growing demand for digital identities for business services propelled the need for such a study. As a leading startup in Nigeria, VerifyMe felt compelled to initiate a conversation about the digital identity ecosystem in Nigeria and across Africa. The report unveils a surge of interest in digital identity, signaling rapid sector growth that is already revolutionizing payments and paving the way for open banking and open finance. These advancements are essential in bridging Nigeria's significant credit gap, estimated at $120 billion. The foundation for unlocking financing lies in leveraging digital identity for consumer insights and other innovative products, which are crucial for enhancing financial inclusion in the country. With banks, telcos, and FinTechs spearheading diverse structures and initiatives, digital identity plays a pivotal role in driving these advancements. Over 50% of traditional banks in Nigeria currently utilize VerifyMe for identity verification, underlining the critical importance of digital identity in the financial sector. The African Continental Free Trade Agreement further accelerates opportunities for indigenous companies like VerifyMe to expand operations across African countries. The push for standardization of data within the FTA framework facilitates seamless cross-border business transactions and enhances interoperability between countries. Despite growing concerns around data protection, Aguele emphasizes the paramount importance of stringent regulation and enforcement to safeguard customer data. Aligning with government protocols and cybersecurity measures ensures the secure management of Nigerian data, positioning it as a national security infrastructure. VerifyMe's commitment to data privacy and non-monetization of customer data underscores its dedication to customer protection. The evolving landscape of digitization in Africa mirrors global trends, as countries like Ghana explore innovative solutions like the Ghana card as an alternative travel document. Aguele envisions a future where digital identities seamlessly integrate with travel documents, streamlining processes and enhancing security measures. As the digital landscape continues to evolve, the future of digital identity holds endless possibilities for unlocking Africa's growth potential and driving economic prosperity.