Africa has enjoyed great success in the economic sector, with the entry of financial technology solutions. Some fintech solutions have become key determinants of the rate at which some African economies are growing.
Fintech refers to a group of companies that rely more on technology to conduct business, and services and products in the financial industry, as a major shift from the traditional way of service and product delivery.
Here are some Fintech solutions spread across the continent.
Mpesa means M for mobile and Pesa, Kiswahili for money and was started by global mobile phone operator, Vodafone through its commercial associate Safaricom. It was introduced into the Kenyan market in 2007. It is a mobile money transfer service that enables customers to send and receive money, pay bills and attend to other tasks by electronically paying for goods and services. It also helps subscribers to save money and access micro-loans.
This is a South African-based application that is owned by FireID. It allows customers to pay retailers and stores for products and services using their mobile phones instead of credit, debit cards or cash. This application is available on Apple, Blackberry and Android mobile devices and users need to download it then take pictures of their credit cards and create a pin for the accounts. In making payments, users scan for Quick Response, a type pf a barcode which is then printed to enable them complete payments. Users register on SnapScan for free and the company makes money by charging the retailer a small fee for each purchase made through the app.
This application derives its name from the Zulu word, Nomanini which means ‘anytime’. It is a South African-based enterprise payments platform provider that enables transactions in the cash-based informal retail sector. It uses a wireless box linked to a cloud software service that enables transactions. Nomanini terminals are fast becoming the best payment option for utilities such as electricity, water and insurance.
It was founded in 2004 by Kenyan-based Cellular Corporation. It connects mobile operators, banks and consumers to ensure that mobile money payments are seamless and real-time. It also ensures that financial institutions and players communicate in the best way to their customers. It is currently in 12 African countries including Nigeria, Ghana, Kenya, Zambia, Malawi and Zimbabwe and serves over 40 million people across these markets.
This is a Nigerian mobile money transfer service that was founded in 2009, by Taye Oviosu. It started operating in 2011 after receiving its operating license and is the only mobile payment platform that has successfully capture the Nigerian market. Paga enables its clients to pay bills, transfer money, access banking services and other financial services via their mobile phones.
This is a Cape Town-based mobile money application that was launched in January 2012, by Kenny Inggs and Christo Davel. It’s a personal finance tool backed by Old Mutual and connects users to their bank accounts and enables them to keep track of their spending, make personal budgets and even invest in stocks. It aims to cushion its customers from impulsive spending and improve on financial awareness.
This is a Zamabian-based mobile-money transfer system that was launched in 2009. It has a huge client base in the remote areas of Malawi and Zambia, where majority of the population has not embraced formal banking. Zoona is best suited for low-income earners. Its agents get commissions every month based on the number of transactions they have done.
This is an online peer-to-peer lending platform. It is limited to South African’s and has not spread to other countries on the continent. Grant Mashale, a former television producer founded the platform with the aim of enabling easy peers lending. RocMyPeer, which was started using Payfast, a popular South African e-commerce platform, can work on a wide range of devices. Users pay two percent of any transaction made. The company also provides airtime, electricity voucher advances and data services.