Published On: Mon, May 4th, 2020

Africa Roundup: Visa connects to M-Pesa, Flutterwave enters e-commerce

It seems a direct for Safaricom’s M-Pesa remuneration product never eases. Since a 2007 launch in Kenya, a fintech app has ordered over 70% of a mobile income marketplace in that country. When COVID-19 strike a East African republic of 53 million in March, a Kenyan Central Bank incited to M-Pesa as a open health apparatus to revoke use of cash.

And final month, one of a world’s financial services giants — Visa — connected M-Pesa to a tellurian network.

Visa and Safaricom — that is Kenya’s largest telecom and user of M-Pesa — announced a partnership on payments and tech.

The arrangement opens adult M-Pesa’s possess endless financial services network in East Africa to Visa’s tellurian businessman and label network opposite 200 countries.

The companies will also combine “on growth of products that will support digital payments for M-Pesa customers.” The partnership is still theme to regulatory approval.

The sum sojourn vague, though a remuneration providers also pronounced they will use a partnership to promote e-commerce.

Images Credits: Getty Images

On a continent that is still home to the largest share of a world’s unbanked population, Kenya has one of a top mobile-money invasion rates in a world. This is mostly due to a prevalence of M-Pesa in a country, that has 24.5 million customers and a network of 176,000 agents.

As we minute in ExtraCrunch, Visa has been on a VC and partnership debauch with African fintech companies. The tellurian financial services hulk has named operative with a continent’s payments startups as core to a Africa enlargement strategy.

Visa and Kenya’s Safaricom partner on M-Pesa, payments and tech

One of those fintech ventures Visa has teamed adult with, Flutterwave, launched an e-commerce product in April. The San Francisco and Lagos-based B2B payments association announced Flutterwave Store, a portal for African merchants to emanate digital shops to sell online.

The product is less Amazon  and some-more eBay — with no register or room requirements. Flutterwave insists a pierce doesn’t paint any change divided from a core payments business.

The association accelerated a growth of Flutterwave Store in response to COVID-19, that has brought limiting measures to SMEs and traders handling in Africa’s largest economies.

After formulating a profile, users can showcase register and couple adult to a remuneration option. For pickup and delivery, Flutterwave Store operates by existent third celebration logistics providers, such as Sendy in Kenya and Sendbox in Nigeria.

The use will start in 15 African countries and a usually fees Flutterwave will assign (for now) are on payments. Otherwise, it’s giveaway for SMEs to emanate an online storefront and for buyers and sellers to covenant goods.

While a beginning is innate out of a widespread of coronavirus cases in Africa, it will continue over a pandemic. And Flutterwave’s CEO Olugbenga Agboola — aka GB — is austere Flutterwave Store is not a focus for a Y-Cominator corroborated fintech company.

“It’s not a instruction change. We’re still a B2B remuneration infrastructure company. We are not relocating into apropos an online retailer, and no we’re not looking to turn Jumia,” he told TechCrunch .

African fintech organisation Flutterwave launches SME e-commerce portal

In early theatre startup activity, a comparatively new association — Okra — has combined a singular height that allows it to beget income on both sides of a fintech aisle.

Founded in Jun 2019 by Nigerians Fara Ashiru Jituboh and David Peterside, a association refers to itself as a “super-connector API” with a height that links bank accounts to third celebration applications.

Okra’s clients embody fintech startups and vast financial institutions in Nigeria. The association got a courtesy of TLcom Capital — a $71 million Africa focused VC organisation —that corroborated Okra with $1 million in pre-seed funding. The Nigerian startup is regulating a supports to sinecure and enhance to new markets in Africa, many expected Kenya .

Nigeria’s Okra raises $1M from TLcom joining bank accounts to apps

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