OPay and M-Pesa have received recognition from the World Economic Forum for their transformative influence on mobile banking in Africa. As leading entities in the digital and mobile banking landscape, OPay in Nigeria and M-Pesa in Kenya, boasting over 50 million active users, have been commended by the World Economic Forum for their trailblazing efforts in revolutionizing Africa’s mobile banking and digital sector.
A recent report titled “Here’s why Africa is the world leader in digital and mobile banking” traces the evolution of mobile banking in Africa. Initially conceived as a means to transfer airtime between mobile accounts, it has evolved into an alternative money transfer system. Mobile payment services, exemplified by Kenya’s M-Pesa and Nigeria’s OPay, have not only proliferated across the continent but have also expanded into other developing markets.
This acknowledgment highlights the remarkable strides made by OPay within just five years of operation. Nairametrics recently acclaimed OPay as Nigeria’s most downloaded mobile banking app, surpassing the downloads of any other traditional banking app. This accolade aligns with the World Economic Forum’s observation that the disruption caused by mobile banking is eliciting concerns among traditional banking operators.
According to “The African Digital Banking Transformation Report 2023,” 40% of surveyed banks perceive fintechs and telcos as significant threats. The GSM Association, which represents mobile network operators globally, positions Sub-Saharan Africa as the foremost global leader in mobile banking, encompassing live services, subscribers, and transactions.
Despite these advancements, the African Digital Banking Transformation Report of 2023 reveals that only 48% of Africa’s population currently avails banking services, leaving a substantial 52% unbanked, with cash continuing as the predominant legal tender. This underscores the indication that digital banking is poised to expand rapidly across the continent in the upcoming years.
Copyright: Tech-Priest
Copyright: Naija Tech Room
