Fintech
5 FinTech Innovators Diversifying Digital Finance in Africa
By Gloria Methri
The digital finance landscape in Africa is rapidly evolving, driven by a wave of innovative FinTech companies that are transforming how financial services are accessed and used. With over 400 million people still unbanked, FinTechs are stepping in to bridge the gap, offering solutions ranging from mobile money to digital lending.
The FinTech ecosystem is expected to grow at a compound annual growth rate (CAGR) of 32% from 2022 to 2028, highlighting the region’s growing adoption of digital solutions.
Countries like Nigeria, Kenya and South Africa are leading the charge, hosting some of the most promising startups.
Here are some of the most notable FinTech companies that are making a significant impact on the digital finance landscape in Africa.
Branch is a Nigerian mobile lending app that has gained significant traction due to its innovative approach to financial inclusion. Launched by Branch International, the app is designed to provide quick and easy access to loans for individuals and small businesses who may not have access to traditional banking services.
The platform offers a range of loan amounts and flexible repayment terms, allowing users to choose the options that best suit their financial needs and repayment capacity. The app uses advanced algorithms and machine learning to quickly evaluate loan applications, often providing approval in just a few minutes.
Chipper Cash is a FinTech company that provides a mobile-based peer-to-peer payment service in several African countries. Founded in 2018 by Ham Serunjogi and Maijid Moujaled, the company facilitates seamless and convenient cross-border payments in several African countries.
In 2018, Chipper introduced fee-free transfers for personal payments, offering a frictionless way to send and receive money across borders and enabling financial inclusivity across the continent. Since then, Chipper has expanded its product range to offer personal investment products and business solutions and has expanded its reach into the United States.
Luno is a leading global cryptocurrency exchange and wallet provider that focuses on making cryptocurrencies like Bitcoin and Ethereum accessible to users around the world. It offers a simple and intuitive platform that caters to both beginners and experienced cryptocurrency traders.
The platform offers instant buy and sell options, allowing users to quickly convert their fiat currency to cryptocurrency and vice versa. Founded in 2013 by Marcus Swanepoel and Timothy Stranex, Luno is headquartered in London but has a strong presence in various regions, especially in emerging markets.
Founded in 2011, MyBucks is a FinTech company focused on improving financial inclusion in emerging markets, primarily in Africa. It offers digital financial services including lending, savings, investments, insurance and mobile banking, leveraging advanced technologies such as AI and machine learning for efficient operations.
MyBucks aims to provide accessible, affordable and innovative financial products to underserved populations, contributing to economic empowerment and financial literacy. The company started its operations in South Africa and is now active in 11 markets across the continent, as well as Luxembourg and Australia.
OneFi (now Carbon) is a Nigerian FinTech focused on providing financial services to underserved populations in Africa through its digital platform. Founded in 2012, the company aims to improve financial inclusion by providing fast and convenient access to credit, digital banking services and financial education tools.
Its flagship product, the Carbon app, offers a range of services, including personal loans, investment opportunities, bill payments, and peer-to-peer money transfers. Using data analytics and machine learning, OneFi provides efficient credit scoring and personalized financial solutions.
Read also: Global FinTech Use Case Report 2021