06 Feb How Can we Expect Traditional and Digital Online Payments to Play out Across Africa?

African Payment Provider

I thought you might be interested in our perspective based on our ongoing research and experience of the state of online payments across Africa right now and where we think it’s going. 

Currently Mobile Monies and Card are dominant and relatively simple, relatively well developed and easy to link to.  They are often dominant in certain territories. For example M-Pesa is dominant in Kenya, MTN Mobile Money is dominant in Ghana, Card is dominant in Nigeria and South Africa.  We at African Payment Solutions have two API’s, one for card acquiring and one for mobile money collections at the checkout.

Repatriation of funds can be tricky but is doable from Nigeria and South Africa, and its relatively easy from Kenya.  The cost of acquiring across Africa is a little higher than the rest of the world.

Digital Currency and Crypto is very popular in terms of personal holdings and google searches.  It is popular as a result of currency instability, migrant worker remittances, and onerous legislation relating to money, and complexities of crossborder payments.  Digital currency use and adoption is going to be much faster across Africa as a result of the need. Crypto is not widely used for consumer payments yet. Mainly for the payment rails for remittances..  

From a consumer perspective, the main digital currency activity is investment and speculation.  Exchanges are where most of the activity and development is taking place with the ambition of being the banks of the future.  The banks are also competing against Mobile Money which is being encouraged and licensed by governments to provide bank-like financial services.   A number of African governments are considering the merits of Central Bank Digital Currencies which could also be a blow to the banks depending on how it is implemented.

We hope you enjoyed that.

Please click here to get Mobile Money and Card online payment at the checkout for your Africa-wide expansion.

Our services include: 

  • Nigeria
    • Online payment solutions
    • Credit card payments
    • eCommerce payments
    • Payment provider
    • Payment gateway
  • Kenya
    • Online payment solutions
    • Credit card payments
    • eCommerce payments
    • Payment provider
    • Payment gateway
  • South Africa
    • Online payment solutions
    • Credit card payments
    • eCommerce payments
    • Payment provider
    • Payment gateway

 

THANK YOU - THE TEAM AT AFRICAN PAYMENT SOLUTIONS