In response to the ongoing forex volatility in Nigeria, Emmanuel Okeleji, CEO and Co-founder of SeamlessHR, Africa’s leading payroll and HR technology company, has called on businesses to explore local Software as a Service (SaaS) solutions.
This strategic move aims to counteract the adverse effects of forex fluctuations and alleviate the pressure on demand for foreign exchange in the country.
Okeleji emphasized the need for organizations to seek innovative and cost-effective solutions amidst the unpredictable forex markets. He highlighted the benefits of investing in local SaaS tools as a sustainable alternative, enabling businesses to mitigate the impact of forex volatility on their financial performance.
The CEO’s remarks follow the Central Bank of Nigeria’s recent decision to raise the Monetary Policy Rate (MPR) to a record high of 22.75% in its first Monetary Policy Committee (MPC) meeting of 2024. Additionally, the CBN increased the cash reserve ratio (CRR) to 45% while maintaining the Liquidity Ratio at 30%. These measures are expected to lead to higher borrowing costs for businesses, posing challenges to many organizations.
Positioning the adoption of local SaaS solutions as a crucial strategy, Okeleji stressed the importance of operational efficiency in navigating Nigeria’s complex economic landscape. He emphasized the need for businesses to prioritize operational efficiency and cost control in 2024, highlighting that failure to do so could leave them vulnerable to market unpredictability.
SeamlessHR, under Okeleji’s leadership, has been a pioneer in advocating for technological innovation and efficiency in Africa’s business sector. The company recently announced a significant milestone, processing a remarkable ₦500 billion worth of payroll for various African businesses throughout 2023.
About SeamlessHR: SeamlessHR is Africa’s foremost payroll and HR technology company, dedicated to assisting businesses in managing their entire HR and Payroll lifecycle with cutting-edge technology solutions. With a client base of nearly 1,000 medium to large enterprises across over 20 countries, the company operates offices in Nigeria, Ghana, and Kenya, with recent expansion into Botswana. SeamlessHR recently secured $10 million in a Series A funding round to accelerate its pan-African expansion and develop a new embedded finance product.