From the creation? You cannot win. It will be a long, tiring tale without an end. In the end, you will not win the case.

On the one hand 

Research has shown that Africa has become a hotbed for digital payments. Digital payments have helped promote financial inclusion and facilitate economic growth.

They have become a daily tool for earning a living. For improving the availability of financial services. For raising families out of the dungeon of poverty. Ask the PoS operator in your neighbourhood. In the heart of these payments lies a tool. The mobile phone.

On the other hand

This tool has helped push the boundaries of payments in Africa. Research revealed that many African countries have integrated digital payments into their payment infrastructure.

They are reaping the benefits. For instance, in 2020 mobile wallet transactions in Kenya reached 87% of the country’s GDP.

In Ghana, it was equivalent to 82%. Despite the infrastructure deficit, mobile phones are helping to push transactions across borders.

In the long term

Digital payments have helped to grow some economies. These have reduced the reliance on physical cash. Digital payments allow you to receive transactions faster and easily.

According to a report, 57% of Africans do not have bank accounts. Yet, digital payments have helped to improve access to financial services, eliminating barriers.

For instance, the World Bank report said the informal sector is the primary source of employment in Africa.

It accounts for 80.8% of the jobs on the continent. With digital payments, these businesses can access credit and formal financial services. Create a digital financial footprint. Participate in the formal economy. Enable businesses to make payments. You see, it is difficult to yank the mobile phone out of digital payments.

Because of the mobile phone, financial transactions are efficient. Transparent. Secure. Creating an atmosphere for economic growth.  Beneath this growth, however, some engines make it easy for individuals and corporate organisations to enjoy seamless transactions.

There is NIP in Nigeria. South Africa has Payfast. Egypt has Paymob. These machines drive financial inclusion.

They empower financial service providers. Deliver reliable and efficient payment experiences to customers.

The future of digital payments in Africa is assured with these machines. More machines are in the pipeline. These machines will expand the payment frontiers. Deliver innovative solutions. Overcome challenges. Create opportunities.

In the short term

Amid challenges, the digital payments platforms are delivering results. Explaining that to the uninitiated is akin to explaining the life of a camel to a whale. It is intriguing.

This funding, led by EBRD Venture Capital, will be used to enhance Paymob’s technological infrastructure, expand its reach across the Middle East and North Africa, and further help drive financial inclusion and digital payments in the region.

The latest investment will also allow the fintech company to continue developing its product offerings, which include a wide range of payment solutions like mobile wallets, cards, buy-now-pay-later (BNPL) services, and QR payment methods. 

Paymob’s growth strategy involves expanding its merchant network and also cross-selling additional services to its existing merchants. With its offerings, including tools for businesses to accept payments, manage finances, and access working capital, the company has greatly increased its revenue and merchant engagement.

Founded in 2015 by three students from the American University in Cairo — Islam Shawky, Alain El-Hajj, and Mostafa Menessy — Paymob was created in response to the lack of digital payment solutions available for Egypt’s growing e-commerce market. 

Initially, integrating payment gateways from local banks was a challenge, but the trio identified the potential for a payment infrastructure tailored to the region. Today, Paymob serves over 350,000 merchants across Egypt, Pakistan, Oman, Saudi Arabia, and the UAE.

Since its inception, the fintech firm has seen rapid growth. The company’s total number of merchants has more than tripled over the past two years, driven largely by its expansion into new markets and improvements to its product suite. 

Paymob’s payment solutions are not just enhancing the way businesses operate but also contributing to the wider goal of creating a cashless society in the region. Its partnerships with global platforms like Shopify and Tabby have further expanded its reach, while its solutions for small and medium enterprises (SMBs) continue to be a core driver of its business.

In just over a year, Paymob’s transaction volume in the UAE has matched what it took five years to achieve in Egypt. This rapid growth is attributed to the UAE’s strong purchasing power and high adoption of digital wallets, which is reflective of the region’s overall appetite for digital payments.

Despite this outstanding growth in the UAE, Egypt remains Paymob’s largest market. CEO Islam Shawky says that Egypt’s digital payment adoption will soon rival that of the UAE, thanks in part to the central bank’s investments in the country’s digital infrastructure. 

Paymob’s revenues in Egypt have grown sixfold since mid-2022, and the company became profitable in the country during the second quarter of this year. However, Paymob has yet to achieve profitability in other markets.

With continued support from major investors like PayPal Ventures, British International Investment (BII), FMO, and Endeavor Catalyst, Paymob is focused on leading the region’s push towards financial inclusion and digital transformation. The company’s vision remains focused on providing the tools and infrastructure necessary for a cashless future.