There are several reasons why Africa’s uptake of digital payments is among the quickest in the world. Although Africa still has the lowest number of internet connections among all the continents in the world, it still has the most considerable potential for progress. First because of its continued growing population-set to hit 1.7b by 2030- secondly because of the number of its young population, the most in the world and thirdly, its rapidly increasing mobile penetration, the fastest growing in the world.
These factors have made online shopping popular in Africa and reshaped the retail distribution chain. Online shopping is contending with traditional mortar-brick shopping, a development that started with the more advanced economies but is gaining much ground in Africa.
As this phenomenon is gradually becoming the next frontier of growth for Africa and the global economy, paytech has become a significant sub-sector of the fintech industry. Driven by the increased adoption of online shopping, the online payment industry has experienced exponential growth.
Aided by fintechs, the industry has been striving to keep pace with customers’ expectations for speed, ease of use and various payment methods for online shopping to be sustainable in Africa.