Fintech has become one of the most vibrant investment options in the African space. It opens possibilities for tremendous growth and the stats can prove it.
Customer need & mobile penetration
Globally, 1.7 billion adults remain unbanked, yet two-thirds of them own a mobile phone that could help them access financial services.
The Nigerian Communications Commission for example states that 80m Nigerians – 47% of the population – do not have bank accounts, making it difficult for them to access traditional financial services.
But 142 M have mobile network access and 92 million are internet users.
And it’s been estimated that by 2020, there will be 525 million smartphones in Sub-Saharan Africa alone.
This makes Africa prime territory for innovation
And fast-moving fintech companies are filling the gap by developing solutions to address these needs.
They’re working round the clock to make convenient, low-cost financial transactions possible for people who are currently excluded from these support systems.
Innovative, data-driven fintech platform Mode is leading the way
Our foundation product – the Air Credit Service (ACS) – is a cashless micro loan, which allows users to continue accessing mobile phone services even when they’ve run out of their prepaid airtime.
This generates revenue for mobile operators at the same time as increasing customer loyalty. Our experience suggests that introduction of ACS increases average revenue per user by at least 10%.
Leveraging our experience and success with ACS, MODE is introducing Nano, which helps Banks and Financial Institutions target the underbanked base to offer safe loans.
Join the African fintech revolution
Fintech may have already disrupted economies all over the world, but in many ways, fintech in Africa is already ahead of other continents.
That’s because other countries with traditional banking services are faced with the challenge of adapting legacy systems and tech to fit. Fintech in Africa however, can ‘leapfrog’ into new markets much more efficiently because they don’t have these restraints.
If you’d like to find out more about the opportunities available, come and see us at the New Age Banking Summit in Lagos from 26-27 September where you can learn more about the key trends, challenges and opportunities facing banks in the African fintech space.
Or you can find out more about Mode here: http://www.mo-de.com