- April 16 2025
- BM
Nigeria is banking on AI, cybersecurity to lead Africa’s digital future
Nigeria’s tech ambitions were on full display this week at GITEX Africa in Morocco, where the National Information Technology Development Agency (NITDA) pitched to the international audience a future shaped by artificial intelligence in Nigeria and cybersecurity, two pillars it hopes will define the country’s next phase of digital transformation. Kashifu Inuwa, NITDA’s Director General, made a case for integrating AI as a strategic layer in leadership and policy execution for governments and businesses across Africa. “AI is shifting the skills we value today, as well as the processes we use to do our daily work,” he said during a panel session at the main stage on Tuesday, April 15. “To drive strategic leadership, you need to be an AI-driven leader and find a way to use AI as a tool to create co-intelligence whereby you bring people and computers to work together to deliver your strategic vision as a leader,” he noted. It’s a bold proposition for a country that still struggles with the fundamentals, including broadband coverage and limited digital infrastructure. But NITDA is betting on a top-down push to position Nigeria and, by extension, Africa as a global force in AI governance and innovation. On Tuesday, April 15, Nigeria’s Minister of Communications, Innovation and Digital Economy, Bosun Tijani launched the country’s National Artificial Intelligence (AI) Strategy in Lagos. Nigeria’s AI push is backed by government ambition and funding from international partners. In October 2024, the ministry announced a ₦2.8 billion Google grant to promote AI talent development in Nigeria. Though critics have said Nigeria must address fundamental problems such as reliable electricity, food security, and poverty before pushing broader tech ambitions. But the country’s leadership sees AI as a historic opportunity to claim a stake in the global tech future. “We missed the first, second, and third industrial revolutions, but this fourth one, we must lead it and not just follow,” Inuwa added on the panel. Not just AI, but cybersecurity too In addition to its AI pitch, NITDA signed a Memorandum of Understanding with SecDojo, SAS, a France-headquartered cybersecurity training and upskilling company, for targeted capacity-building initiatives. This forms part of the regulator’s effort to enhance Nigeria’s cyber resilience. Nigeria is ranked as the 13th most vulnerable country to cyberattacks, according to Check Point Software Technologies’ December 2024 Global Threat Index. The deal will support the creation of a cybersecurity academy in Nigeria, with training programs, simulation environments, and curriculum development aimed at filling the global cyber talent gap. Image Source: NITDA. “Globally, we have the gap, and in Nigeria, we have a young population that if we harness well, we can train them and connect them with the global value chain to provide cybersecurity services and also to fill some roles and gaps in the global cybersecurity market,” Inuwa said at the MoU signing ceremony on Monday, April 14. Digital talent as export is a familiar theme from the Nigerian government, evident by the three million technical talents (3MTT) programme. While the need for talent is real, so is the question of sustainability. Inuwa himself noted that much of Nigeria’s current digital skills training is delivered through short-term acceleration programs. He’s now pushing for integration into the formal education system. “To prepare for the future, we must embed these skills into our national education framework,” he said, pointing to Cisco’s model of academic integration in Nigerian universities as a possible blueprint. In Marrakesh, Nigeria made its case. Whether it sticks will depend on what happens back home.
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- April 16 2025
- BM
UBA, Access, 8 others earn a record ₦674 billion from e-payments
Ten of Nigeria’s biggest banks recorded a 58% surge in e-payments income as digital transactions hit a record high in 2024, according to their latest financial statements. The increase, driven by higher transfer volumes, increased reliance on mobile apps, and card usage across retail channels, is reshaping the traditional profit model of banking in Nigeria. The banks—Access Holdings Plc, Guaranty Trust Holding Company (GTCO) Plc, United Bank for Africa (UBA) Plc, Zenith Bank Plc, First HoldCo Plc, Wema Bank Plc, Stanbic IBTC Holdings Plc, FCMB Group Plc, Sterling Financial Holdings Company Plc, and Fidelity Bank Plc—saw their combined e-payments revenue rise to ₦674 billion ($419.7 million) from ₦428.6 billion ($266.6million) in 2023. UBA reported the highest value of ₦236.3 billion ($147.1 million), followed by Access with ₦178.6 billion ($110.9 million). Zenith, First HoldCo, GTCO, Wema, FCMB, Sterling, Stanbic and Fidelity recorded ₦80.5 billion ($ 50.4million), ₦76.8 billion ($47.9 million), ₦56.6 billion ($35.5million), ₦14.1 billion ($8.73 million), ₦13.7billion ($8.54million), ₦8.16 billion ($5.09 million), ₦4.36 billion ($2.71 million) and ₦4.19 billion ($2.61 million) respectively. Last year, electronic payment transactions processed through the Nigeria Inter-Bank Settlement System (NIBSS) Instant Payment (NIP) platform reached ₦1.07 quadrillion— the highest ever recorded from N600 trillion in 2023. This means that these banks earned ₦674 billion in processing ₦1.07 quadrillion in transaction volume. Depending on the channel and bank, charges used to range between ₦10 and ₦50 on transactions between ₦5,000-₦10,000. But on December 1, 2024, the federal government instructed banks and fintech companies to immediately implement a ₦50 deduction on electronic transfers above ₦10,000. Analysts say banks are increasingly turning to digital channels as a reliable source of non-interest income, and the strategic shift is driven by high inflation and interest rates, which have compressed traditional banking margins and increased loan risks. “Revenue from e-banking is now proving to be a vital source of income for Nigerian banks, as more people increasingly rely on digital channels,” Israel Odubola, a Lagos-based analyst, said. “What was once a supplementary stream has become a strategic imperative.” According to Gbolahan Ologunro, portfolio manager at FBNQuest Asset Management, the increase in e-banking revenue is one of the major justifications for the banks to spend more on IT-related infrastructure. “Providing exceptional customer experiences through banking channels will increase customer transactions on those channels,” he added. TechCabal reported earlier this month that six major Nigerian banks spent ₦268.7 billion ($171.5 million) on IT infrastructure and tech-related services in 2024, a 74.5% surge from ₦153.8 billion ($98.2 million) in 2023. Electronic transactions in Nigeria have witnessed significant growth in recent years, driven by factors such as the cashless policy of the central bank, increased internet and mobile phone penetration, and the development of innovative payment platforms like OPay and PalmPay. According to data from NIBSS, the total volume of NIBSS Instant Payment platform (NIP) transactions also rose to 11.3 billion from 9.7 billion. A further breakdown of the NIBSS data also shows that apart from NIP transactions, Point of Sale (PoS) volume increased to 1.45 billion from 1.39 billion, while its value rose to ₦79.5 trillion from ₦46.9 trillion. Tajudeen Ibrahim, director of research and strategy at Chapel Hill Denham, said the naira depreciation largely contributed to the increase in transaction value. “NIBSS is not only for local currency transactions alone. It is an interbank settlement. So, any foreign currency bank settlement would have influenced that number,” he added. The naira has lost more than 70 percent of its value against the dollar following two sharp devaluations since July 2023. At the official market, the naira depreciated from ₦463.4/$ on June 9, 2023, to ₦1,601.4/$ as of April 15, 2025. The surge in electronic transactions also contributed to Nigeria recording the steepest decline in cash transactions, surpassing six cash-reliant economies in the last decade, according to a report by global payment processing company Worldpay. From 2014 to 2024, cash transactions in Nigeria fell by 59%. With ₦674 billion earned from ₦1.07 quadrillion in transactions, Nigerian banks aren’t just adapting to the digital wave—they’re cashing in on it. As cash fades and mobile taps replace physical queues, e-banking has become the new financial frontier.
Read More- April 16 2025
- BM
Tala lays off 28 staff as loan defaults and customer queries fall
Digital lender Tala has laid off 28 employees from its customer operations team, citing a reduced workload due to fewer loan defaults and a drop in customer support queries. In an internal memo seen by TechCabal, the company said the layoffs were necessitated by a shift in how customers repay their loans. An internal memo from February 2025 initially outlined plans to cut 55 roles across Tala’s recovery and customer service teams, citing operational shifts and efficiency measures. That figure was later revised to 28 in April as the company reassessed its restructuring plan. “With Tala customers successfully choosing and managing their loan repayment timelines according to their income cycles, 28 positions in the customer operations team were declared redundant,” Tala said in the memo. Tala said the layoff would affect 3% of its workforce, suggesting the company employs nearly 1,000 people. The lender said it would honour all dues for affected staff, including their final salary, one month’s pay in lieu of notice, a severance package of at least 15 days per year worked, and unused leave. Employees will also receive a one-time ex gratia payment and certificates of service. The layoffs hint at shifts in borrower behaviour. In Kenya, most digital loans cover day-to-day expenses rather than business or investment needs. With the economy under pressure, many consumers may borrow less or avoid new debt altogether. At the same time, the digital lending space has grown increasingly crowded. For standalone lenders like Tala, the challenge is attracting users and competing with M-Pesa-linked services like M-Shwari, Fuliza, and KCB-Mpesa, which offer seamless integration and brand trust. As of 2023, M-Shwari (34%), Fuliza (25%), and KCB M-PESA (15%) led the Kenyan digital lending space. Tala held a 13% market share, just ahead of Branch at 9%. Tala did not immediately respond to a request for comment.
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- April 16 2025
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TechCabal Daily – Access denied
In partnership with Lire en Français اقرأ هذا باللغة العربية Good morning! Good morning from Marrakesh, where our senior editor, Ganiu Oloruntade, is attending Africa’s biggest tech and startup show, GITEX Africa. If you’re in Morocco, please say hi to Ganiu. CBN halts Access Bank’s NBK acquisition GITEX Africa: Morocco is betting big on tech Moniepoint enters Nigeria’s remittance market with the launch of Monieworld CBEX: another ponzi scheme bites the dust World Wide Web 3 Opportunities Banking CBN halts Access Bank’s NBK acquisition Image Source: Access Bank On Tuesday, Nigeria’s largest lender by asset, Access Bank, received approval from both the Central Bank of Kenya (CBK) and the country’s Treasury to acquire the struggling National Bank of Kenya (NBK). What seemed like a hard-won victory has hit a wall, with Nigeria’s Central Bank blocking the deal over regulatory breaches and failure to receive proper notice. The CBN flagged missing disclosures and a non-compliant structure and has asked both parties to resubmit the deal. But there’s another layer: Nigeria’s Central Bank reportedly wants Access Bank to exit the Democratic Republic of Congo and shut down its London office as part of broader efforts to streamline Nigerian banks’ foreign operations. That pressure is believed to be contributing to delays in approving the East Africa deal. The freeze complicates Access Bank’s aggressive regional expansion. NBK, with over 85 branches, would significantly boost Access’s presence in Kenya—one of Africa’s most competitive banking markets. Without it, the deal could lose strategic value. Seamless Global Payments With Fincra. Issue accounts in NGN, KES, EUR, USD & more with one integration. Send & receive funds seamlessly across borders; no more banking hassles or complex conversions. Create an account for free & go global today. Events GITEX Africa dispatch: Morocco is betting big on tech Our senior editor Ganiu Oloruntade at GITEX Africa 2025, Marrakech, Morocco/Image Source: TechCabal Marrakech smells like jasmine, spice, and ambition. That’s the best way I can describe the energy at GITEX Africa 2025, which kicked off on Monday with over 1,450 exhibitors, 350 global investors, and 650 speakers from 130 countries. Now in its third edition, GITEX Africa—now solidified as the continent’s biggest tech and startup show—has positioned Morocco as a continental tech hub, thanks to serious government backing and a growing appetite for innovation. Thousands of people swarm around the sprawling Place Bab Jdid, Bd Al Yarmouk, a venue so massive you could easily miss your way (full disclosure: I got lost thrice). Booths buzzed with product demos and investor pitches, while the stages hosted deep conversations on everything from renewable energy, the future of finance to telecom infrastructure. Notably, Flutterwave CEO Gbenga Agboola spoke to TechCrunch’s Tage Kene-Okafor about the company’s growth from local disruptor to a global fintech powerhouse. GITEX is no longer just an occasion to showcase the latest innovations, but has become a strategic place to strengthen digital inclusion between African countries, to build bridges of cooperation with our international partners, and to accelerate the pace of sustainable digital transformation,” said Mohammed Drissi Melyani, Director General of the Digital Development Agency. At the opening ceremony, Amal El Fallah Seghrouchni, Morocco’s Minister of Digital Transition and Administration Reform, reminded us that the digital economy now contributes 15% of global GDP. This year’s GITEX isn’t just bigger, but broader. New country pavilions popped up from Gabon, Uzbekistan, Belgium, and Niger. Beyond the typical focus on AI and cybersecurity, the agenda now covers sports tech, energy transition, and edtech. Walking through the exhibitor booths, I stopped by Visa’s setup, right opposite the Future of Finance stage, and yes, I couldn’t resist taking a picture with the AFCON trophy on display. I hope the Super Eagles bring it home this time. Moments like that remind you that this isn’t just about tech, it’s about culture, pride, and continental ambition. If you ask me, I’d say GITEX Africa is Morocco’s diplomatic and economic bet on technology and innovation. The North African nation is making a bold bid to become the continent’s innovation capital, and it’s doing so with scale and purpose. Till my next dispatch, Adios! Here’s what happened at Paystack in 2024! See what Paystack built last year! From major product upgrades to new ways we supported African businesses. Check out our Year in Review → Fintech Moniepoint enters Nigeria’s remittance market with the launch of Monieworld Image Source: Wunmi Eunice/TechCabal Moniepoint, Nigeria’s latest unicorn, is going after the country’s remittance market with the launch of Monieworld, its latest app. The app is focused only on the UK-Nigeria corridor and UK residents can send money directly from a Monieworld account or link their Apple Pay to transfer money to any Nigerian bank account. In a live demo, it took just 17 seconds to send money to a Moniepoint account. The recipient got ₦2,172 for £1—that’s ₦53 more than what you’d get on platforms like Grey, and ₦30 more than Lemfi. While Monieworld will compete against focused and well-funded startups like Lemfi and Raenest and global players like Wise, Moniepoint is not too worried, as the startup plans on creating its customers for Monieworld. Tosin Eniolorunda, Moniepoint’s CEO, told TechCabal that his company is hoping that it can bring its superior distribution to the remittance market and onboard the Nigerians that prefer sending money via informal channels. Nigeria received £2.7 billion in remittances from the UK in 2021 through formal channels, and according to the World Bank, remittances are split between informal and formal channels, with most migrants preferring to send money through agents as they attempt to dodge high transaction costs. Monieworld is possible because Moniepoint’s British subsidiary—Moniepoint GB—partnered with PayrNet, a licensed electronic money institution (EMI) in the UK, to process remittances. Moniepoint also acquired an international money transfer operator (IMTO) license in Nigeria through a subsidiary called Global Wire. TechCabal had an exclusive conversation with Eniolorunda to understand why the fintech is expanding into remittances, its ideal customer, its customer acquisition strategy and everything you need to know
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- April 16 2025
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How Moniepoint is going after remittances with Monieworld
Moniepoint, the Nigerian fintech unicorn, has launched Monieworld, its remittance product that allows UK residents to send money directly from a Monieworld account, cards, a British bank account or via Apple Pay and Google Pay to any Nigerian bank account. In a live demo seen by TechCabal, it took just 17 seconds to send £1 to a Moniepoint account, which received ₦2,172—₦53 more than on other remittance platforms like Grey and ₦30 more than Lemfi. Monieworld makes money through FX conversion fees, with plans to diversify revenue as it expands its offerings. For now, it can only send money to Nigeria, which received £2.7 billion in remittances from the UK in 2021 through formal channels, making the corridor one of Nigeria’s largest sources of remittances. “We used to say we are creating financial happiness for Africans, but that has evolved to Africans everywhere,” Moniepoint’s CEO, Tosin Eniolorunda, told TechCabal. “Our goal is not just remittance but a full-fledged diaspora financial services platform to serve the African diaspora.” Moniepoint is best known for its blue POS devices used by thousands of agents scattered across Nigeria to dispense cash. After expanding into personal and corporate banking in the past two years, Monieworld is its latest attempt to diversify beyond agency banking and build a financial services ecosystem. Recently backed by $120 million from investors like Google and Visa, Moniepoint enters the remittance space with a familiar playbook: offer the best deal upfront. It currently offers the highest conversion rate in the market, a strategy it used during its agent onboarding phase when it gave out thousands of POS terminals for free to agents across Nigeria. That strategy paid off. Moniepoint now processes over 1 billion transactions monthly, worth $22 billion, according to the company. Beyond offering a higher conversion rate for now, Moniepoint is also banking on Monieworld’s speed and reliability to retain users, as it has end-to-end control over transactions. “We are using pricing as a pull factor. We want people to try the product because it’s affordable and stay because it works,” Eniolorunda said. 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It is also “deep” into acquiring its EMI license from the UK regulators—a move that will remove external influence in processing remittances, which might increase its speed and reliability by keeping the money within its ecosystem. Only UK residents can use the app after undergoing checks to verify residency, creditworthiness, and identity. Monieworld is creating its customers Moniepoint is no stranger to competition. In agency banking, it competes with OPay and PalmPay, while in personal banking, it competes for market share with Kuda. Its newest competitors, like Lemfi, Grey, and global players like Wise, have the advantage of focus, building products dedicated solely to cross-border payments. However, Moniepoint does not consider these companies as its immediate competitors. “Our biggest competitor in remittance is peer-to-peer transactions (people sending money back home through friends and family),” Eniolorunda said. “Our approach isn’t necessarily to go head-to-head with Lemfi or Grey, it’s to go after the huge, untapped market—people still sending money manually.” Over 290,000 Nigerians live in the UK, according to a 2021 census, forming the third-largest nationality.
Read More- April 16 2025
- BM
Opera Mini rolls out AI-powered upgrade to take on Google and Microsoft browsers
Opera Mini, Opera’s lightweight mobile browser that’s become a digital lifeline across Africa—especially for users on affordable, low-spec smartphones—is stepping into the AI race with a significant upgrade, the company told TechCabal. The company is integrating its browser AI, Aria, into Opera Mini, bringing advanced AI-powered capabilities to more than 100 million users worldwide—many in data-conscious markets like Kenya, Nigeria, and South Africa. This move marks Opera’s most ambitious attempt yet to challenge tech giants Google and Microsoft in the AI-enabled mobile browser space. As of Q1 2025, Opera ranks as the sixth-largest browser globally with a 2.2% market share, and serves 380 million monthly active users (MAUs), trailing Chrome, Safari, Edge, Firefox, and Samsung Internet, according to StatCounter. Africa remains a stronghold for Opera Mini, with Kenya emerging as its biggest market—boasting 13 million users, or 12% of the mobile browser’s 100 million global base. With the introduction of Aria, Opera Mini is promising an AI experience that doesn’t demand high bandwidth or large device storage Aria enhances the web experience by offering real-time information retrieval, article summarization, text and code generation, image creation, and intelligent assistance for learning and research—all within a lightweight chat-based interface. Importantly for Opera Mini’s core user base, these features do not increase the app’s size or data usage. “AI is rapidly becoming an integral part of the daily internet experience,” said Jørgen Arnesen, EVP Mobile at Opera. “Bringing Aria to Opera Mini is a natural next step for our most-downloaded browser. We’re excited to explore how AI can further enhance the feature set our users rely on every day.” Aria is powered by Opera’s proprietary Composer AI engine, which combines models from OpenAI and Google to generate fast and contextually relevant responses. It also includes support for image generation via Google’s latest Imagen3 model. With this rollout, Aria is now available across Opera’s entire lineup of browsers on both desktop and mobile. The Aria integration is designed to fit seamlessly into the Opera Mini environment. Users can access it from the main menu or directly from the start page. Once activated, they can chat with Aria to ask questions, generate content, search the web, and perform AI-assisted tasks without leaving the browser. This frictionless experience aligns with Opera Mini’s longstanding mission to make the internet more accessible, faster, and cheaper for users in emerging markets. In regions where mobile data remains prohibitively expensive, Opera Mini has long offered a data-conscious alternative. Its data-compression technology has helped level the playing field in markets where internet affordability is a barrier. In Nigeria, for example, 59% of users in a yet-to-be-published Opera survey conducted in March 2025 said that mobile data is too costly, and more than half reported running out of data before the end of the month. Opera Mini addresses this by compressing content and offering promotional data bundles through local telecom partnerships, with some users receiving up to 1.5GB of free data per month. The company told TechCabal it has saved Nigerians an equivalent of $27 million in data through its data compression technology. While companies like Google and Microsoft dominate the AI narrative with tools like Gemini and Copilot, Opera’s Aria could make AI more accessible to low-end smartphone users in parts of the world where access is limited. Opera Mini already includes features that cater to local interests, such as live football scores and MiniPay, its built-in digital wallet. Now, with Aria embedded into its platform, Opera wants to be the AI for everyone. Whether users are creating school projects, seeking information, or generating digital content, Opera Mini’s Aria puts advanced AI tools in their pockets without breaking their data budgets.
Read More- April 16 2025
- BM
South Africa suspends new SASSA payment cards, placing 28 million at risk
The South African Reserve Bank (SARB) has suspended the rollout of Postbank’s new black South African Social Security Agency (SASSA payment card), throwing the distribution of monthly social grants to over 28 million beneficiaries into uncertainty. The new cards were meant to replace the ageing gold cards used by SASSA grant recipients, one of Africa’s largest social welfare programmes. The transition to black cards, issued by state-owned Postbank, was part of the government’s plans to enhance security and modernise the payment system. On Tuesday, SASSA confirmed that the issuance of Postbank’s black card has been suspended, urging beneficiaries who have not yet received their cards to consider opening accounts with other banks of their choice to continue receiving payments. “The Sarb instructed Postbank, with the guidance of Sassa, to ensure that beneficiaries who have not yet migrated to the black cards can use their gold cards and receive their grants and that there is minimal disruption while they are moving to alternative sources, such as their bank of choice,” said Bridget Masango, chairperson of the Portfolio Committee on Social Development. Administrative inefficiencies, fraud, and infrastructure challenges have dogged South Africa’s grant system. Previous attempts to digitise services and reduce reliance on physical service points have not yielded much, with many beneficiaries expressing distrust in digital platforms and preferring in-person assistance. The card transition programme was a key part of Sassa’s modernisation efforts. The SARB’s directive has not been detailed, and the central bank and Postbank have failed to provide a clear timeline for when card issuance will resume. “SASSA remains hopeful that all beneficiaries will continue to receive their funds. We also want to emphasise that beneficiaries have the right to choose any bank of their preference. They can visit their nearest SASSA local office for assistance if needed,” said Paseka Letsatsi, Sassa spokesperson. Despite Sassa’s assurance, many beneficiaries, particularly in rural areas, could be affected by long queues, limited access to bank branches, and inconsistent communication from officials.
Read More- April 15 2025
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South Africa’s payments startup Stitch raises $55 million Series B funding
Stitch, a South Africa-based payments infrastructure startup founded in 2021, has raised $55 million in a Series B round, bringing its total funding to $107 million within just four years of operation. The funding is aimed at expanding its in-person payment offerings, improving its online payment suite, and facilitating its entry into card acquiring. The $55 million funding round was led by QED Investors, with participation from Norrsken22, Flourish Ventures and Glynn Capital, as well as angels including comedian Trevor Noah. Existing backers like Ribbit Capital, PayPal Ventures, Firstminute Capital and The Raba Partnership also contributed. “This funding round is focused on our next phase of growth to expand our in-person payments launched with acquisition of ExiPay earlier this year, and also (to) bolster our online payments suite to better serve enterprise merchants across all payments needs,” said a company representative. The funds will also support Stitch’s expansion into accepting card payments from customers, whether in-store or online. The company representative noted that “becoming a direct acquirer allows us to process card transactions directly, without relying on banks. We will be able to offer our clients an end-to-end card product with full control over the whole product lifecycle while reducing the number of intermediaries and lowering costs.” The funding will help Stitch invest in infrastructure that enable the flow of money including payment processing networks, as well as infrastructure to improve payment processing, methods, and service levels. “The key is seamless switching between these sources. We need to automatically detect failures and switch to backups, ensuring uninterrupted service. This requires maintaining all these alternatives and having the systems and teams to manage the transitions quickly,” said the company representative. The company noted that its ability to attract such substantial capital in a challenging macroeconomic climate hinges on building a business with demonstrable fundamentals. First, startups must demonstrate a sound business model that addresses a real market need, showing evidence of market share growth, strong client adoption, and positive feedback. Stitch’s growth is fueled by factors like increasing e-commerce penetration, the rise of digital wallets, and the popularity of buy-now-pay-later (BNPL) solutions. South Africa’s e-commerce penetration is experiencing significant growth, with estimates suggesting a rise from 49% in 2023 to 60% by 2028. “Investors primarily focus on the fundamentals of building something people genuinely want and demonstrating strong financial performance. You need to clearly illustrate your growth trajectory and sound financial fundamentals. Then, the ‘nice-to-haves’ like investor networks and brand storytelling become relevant,” the company representative said. Stitch serves some of the leading enterprise businesses in South Africa including Takealot, Mr. D, MTN, Vodacom, Standard Bank’s Shyft, TFG’s Bash, Hollywoodbets, Luno, The Courier Guy and many more. This funding will help them serve their clients better. “Businesses like Takealot operate 24/7/365. We need to provide consistent, uninterrupted service. However, South Africa’s financial infrastructure is not designed for round-the-clock operation,” the company representative said. Stitch bridges this gap by providing a comprehensive suite of payment solutions for enterprise businesses. It also launched Express, a simple checkout solution designed for online businesses of all sizes that use e-commerce platforms such as Shopify and Woo, in early 2025. Beyond access to all local online payment methods and in-person payments, Stitch is also known for its fraud prevention capabilities with its Shield product which uses AI to detect fraud across all transactions, providing merchants with tools to manage fraud incidents, and handling both prevention and response. The startup notes that South Africa’s payment infrastructure market is constantly innovating. Merchants are demanding higher service levels, faster product delivery, and new payment methods to cater to diverse customer segments. They are also seeking seamless omnichannel experiences, merging online and in-person payments. “Value-added services are becoming crucial. They want detailed payment insights, AI-driven fraud prevention, and streamlined reconciliation and reporting. Enterprises are looking for comprehensive solutions, not just basic payment processing,” the company representative said.
Read More
- April 15 2025
- BM
Inside Verto’s intercontinental B2B money movement engine
For large organisations operating in Africa, accessing foreign exchange (FX) liquidity when they need it is often a painful experience. Banks rarely provide the full amount required in one go, and when they do, the process is slow, opaque, and fragmented. That challenge—moving money efficiently across borders and accessing FX at competitive rates—is what Verto, a London-headquartered fintech, set out to solve. Founded in 2019 by Ola Oyetayo and Anthony Oduwole, Verto has built a B2B cross-border payments and FX platform that helps businesses send, receive, and exchange money across over 190 countries. The company’s origin was modest: a currency exchange marketplace to help businesses swap illiquid African currencies like the naira or franc for more globally traded ones. But it quickly evolved. “Sometimes these corporations can’t get all the FX they need at once from the bank,” Oduwole, Verto’s CTO, told TechCabal. “We offer competitive rates because we can do wholesale pricing—2x or 3x better than banks in some cases.” By adding payment infrastructure to its FX engine, Verto positioned itself as a one-stop platform for businesses with international operations. Its clients range from consumer internet companies like MTN and Yoco to B2C remittance firms like Flutterwave and D.local, who rely on Verto’s infrastructure and liquidity to serve their own end users. B2B, not B2C—for a reason When Verto launched, Africa’s B2C remittance space was already crowded with big players: Western Union, MoneyGram, and a growing cohort of fintechs. Oduwole said that entering the B2C space would’ve required a marketing war chest and deep operational expertise. Instead, Verto made a bet on business payments—what the founders saw as an underserved and largely “unsexy” part of the market. The logic was simple: while remittances dominate the headlines, B2B cross-border transactions dwarf B2C in volume. As of 2024, the global B2B cross-border payments market was worth $31.6 trillion, compared to just $1.9 trillion for B2C. “B2B was the bigger pie,” Oduwole said. “If you get even 1% of that, you’re good.” Building infrastructure from scratch Beneath the glossy interface, Verto has built a dense backend stack: compliance engine, FX pricing engine, payments infrastructure, and reconciliation tools. Much of it was created from scratch. “There was simply no plug-and-play,” Oduwole said. “We had to build our own stack—from payment and compliance to reconciliation.” The infrastructure gives Verto a powerful edge. It not only powers its own products, it also allows other businesses to build on top of it. Some remittance companies, for example, use Verto’s rails to move money behind the scenes. To overcome friction with legacy African banks—many of which struggle to integrate with global banking systems—Verto secured a Payment Services Provider (PSP) license from the UK’s Financial Conduct Authority. This allows the startup to connect directly with tier-1 global banks and manage treasury services more efficiently. Compliance as product For a startup that moves large sums of money across continents, compliance is not just a checkbox—it’s a product in itself. “If you mistakenly send $1,000, no one will panic,” Oduwole said. “But if you move $10 million non-compliantly, your company could be shut down.” Verto has built a smart compliance engine that tracks payment patterns and flags anomalies. If a business usually does quarterly transactions worth $1 million and suddenly spikes to $2 million, the system checks in. “Not because we don’t want you to succeed,” Oduwole said. “We just need to know it’s compliant.” Verto also conducts due diligence on beneficiary accounts and taps into international fraud databases. The system is reinforced with AI to flag risks and reduce false positives. Making money Verto earns from FX transactions, transfer fees, and a 1% commission on its price discovery marketplace. The company claims profitability and processes over $15 billion in FX volumes annually. Its FX management product is the biggest revenue driver, followed by treasury services. But Oduwole believes its card product, which launched in 2024, may soon overtake them. Verto operates in a crowded space. It competes with players like Kora, Fincra, and older financial institutions like banks. But it sees banks—not startups—as the biggest threat. “Banks don’t just do FX. They give credit, manage payroll, and do a lot of the heavy lifting for businesses,” Oduwole said. Still, Verto believes banks are too slow and rigid to match the flexibility digital platforms offer. New products and bets Verto’s corporate cards allow businesses to issue expense management cards for international use. The company extended the product to freelancers and smaller businesses to unlock new demand. Oduwole said the difference lies in the vertical integration: “We leverage Verto FX infrastructure, Verto collections, and pair it with our partner’s card technology. That gives us deeper services than other providers.” It also rolled out a no-code invoice tool—businesses can now send a payment link to international clients to get paid faster. Behind these launches is a broader product strategy: bundling treasury, FX, and payment tools under one roof to keep B2B users in its ecosystem. Verto wants to become the default financial backend for African businesses with international operations. To get there, it’s betting on infrastructure, compliance, and a B2B-first lens. “If you truly want to build a global business, you have to make compliance your core,” said Oduwole. “You might not scale fast, but you’ll build a real business—and sleep better at night.” The technology and innovation shaping cross-border payments in Africa
Read More- April 15 2025
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Nigeria’s inflation accelerates to 24.4% in March
Nigeria’s inflation accelerated in March, reversing the temporary relief seen in February, as festive spending during Eid al-Fitr, and renewed currency depreciation lifted prices across the board. Headline inflation rose to 24.2%, according to the National Bureau of Statistics (NBS), up from 23.18% in February. Food inflation declined to 21.79% compared to last month, while core inflation—excluding food and energy—stood at 24.43%, reflecting the broad-based impact of import cost pass-through and utility price adjustments. Analysts say inflationary pressures in March were fueled primarily by seasonal food demand, FX volatility, and higher telecom and logistics expenses. “Seasonal farming constraints during Ramadan, heightened demand over Eid, and the depreciation of the naira all contributed to elevated prices,” said analysts at Meristem, a Nigerian financial services company that provides wealth management, stockbroking, asset management, and trustee services. The naira weakened sharply in late February and early March, trading above ₦1,400/$ in parallel markets and eroding earlier gains seen after the CBN’s FX reforms in Q1. Importers and manufacturers passed rising input costs onto consumers, particularly in urban centers. Samuel Oyekanmi, an analyst at Norrenberger, said March’s figures reflect “a balance between rebasing-related base effects and persistent cost pressures from the naira and fuel.” Analysts expect inflation to remain sticky in the near term, with potential upside risks from electricity tariff adjustments and geopolitical disruptions to global supply chains. “Trade tensions, especially between the U.S. and China, could disrupt input supply and escalate imported inflation,” said Olajide Oyadeyi, an economist at Econoday Inc. “This could worsen price stability for Nigerian producers heavily reliant on foreign goods.” Meristem projects inflation to stay within the 20–24% band through mid-year, citing expected stability in energy prices and a slower pace of naira depreciation. However, the firm warns that “further FX volatility and commodity shocks could challenge this outlook.” The Monetary Policy Committee (MPC) is expected to meet next month. With inflation now rising again and the naira under renewed pressure, markets anticipate the CBN may resume tightening or introduce liquidity management measures to support the currency and contain inflation expectations.
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