Payments have evolved differently in different parts of the world. What works in one part of the world may not work in another. Take an example the UK has largely adopted card payments (Visa and mastercard) whereas in Kenya, the dominant payment module is MPESA. Here is what you need to know when choosing a payment gateway for Africa
- Africa Card payments account for less than 2% of all payments. Excluding South Africa, most of the other African countries have adopted mobile money a lot faster than the card. As a business it makes more sense to tap into mobile money rather than Cards
- Mobile money wallets are owned by different telecoms and are segmented by boarders and telecoms. In Ghana for example their are 3 major mobile money providers MTN, Airtel and Tigo. When choosing a payment service provider, choose one that integrates all the local mobile money networks in all the different countries.
- All payments made on mobile money wallets are done in the local currencies. As an international business, choose a PSP that provides a favourable rate of transfer to your local currency.
- Online Banking is more used than cards in Africa
- Local cards dominate International cards in Nigeria.