MOBILE PAYMENTS IN NIGERIA ON THE VERGE OF GETTING ALL-TIME HIGH - TRIBUNE CITY
BY Chad Curry
The craze for mobile payments is growing in the African nations, especially Nigeria.
Since everyone spends a good amount of time on their smartphones than their computers or laptops, mobile payment apps have become increasingly popular and are being seen as the most convenient way to make a transaction today.
Talking about Africa’s largest economy Nigeria, when it comes to financial matters, people typically prefer cash payments over technology.
Irrespective of high mobile penetration, only 6% of the population uses mobile phones to make financial transactions.
On the other hand, 60% of Nigerians still do not have a bank account, and hence they don’t have access to digital services on offer.
A strong reason for that is many people in Nigeria who have a mobile phone but say they don’t trust the technology.
But fortunately, the scenario is changing for the good in Nigeria.
Recently, OPay, an Africa focused mobile payments startup founded by Norwegian browser company Opera, has brought in $50 million in funding.
OPay expectedly would use the capital to primarily grow its digital finance business in Nigeria.
Opera founded the app OPay in 2018 on the basis of the popularity of its internet search engine. It web-browser has been ranked at number two in usage in Africa, after Chrome, the last four years.
Other than OPay there have been a few other apps which have been able to stand out in the mobile payments circle.
One of Nigeria’s biggest mobile money operators operates multiple kiosks in Lagos, especially in neighborhoods where the closest bank or working cash machine is damn too far away.
An indigenous tech start-up based out of Lagos Nigeria launched m-naira App, designed to fill the gap in financial inclusion, mobile payment, and remittance space. M-naira mobile app has been hailed by industry watchers and stakeholders as a timely injection in the mobile payment ecosystem, contributing to the country’s stride towards a fully cashless economy.
The app has been used for value sharing and money transfer services platform that networks all Nigerian bank accounts, mobile wallets, and billing systems to deliver instant payment services to Nigeria from anywhere in the world.
These apps have made it convenient and safer to send, receive and pay money instantly from your phone, at a quarter of the cost of a bank or high street money transfer provider.