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0 News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/nigerian-firms-partner-to-launch-5-million-contactless-cards-boost-financial-access/
In a landmark push to expand digital payment adoption, fintech giant Moniepoint Inc. and AfriGO Financial Services, a subsidiary of Nigeria’s Inter-Bank Settlement System (NIBSS), have unveiled a partnership to distribute 5 million AfriGO contactless cards and accelerate the rollout of “Tap to Pay” solutions nationwide.
The collaboration aims to deepen financial inclusion while reducing Nigeria’s reliance on foreign payment systems, marking a critical step in the country’s quest for monetary sovereignty.
Under the agreement, Moniepoint will leverage its vast agent network—one of Nigeria’s largest—to deploy the AfriGO cards, which function as the country’s first domestically developed payment card scheme. The cards, enabled with Near Field Communication (NFC) technology, allow users to make secure, instant payments by tapping their card or smartphone on compatible terminals. This move targets Nigeria’s unbanked and underbanked populations, particularly in rural and semi-urban areas where cash remains king.
“This partnership isn’t just about technology—it’s about engineering financial happiness for every Nigerian,” said Moniepoint CEO Tosin Eniolorunda. He emphasized that the initiative will offer affordable, instant transactions while keeping payment data within Nigeria’s borders, a nod to growing concerns over foreign exchange dependency and data privacy. Currently, over 60% of Nigeria’s card transactions rely on international schemes like Visa and Mastercard, incurring hefty FX fees.
AfriGO’s Managing Director, Ebehijie Momoh, highlighted the broader economic ripple effects: “Seamless settlements mean businesses can manage cash flow better, reduce risks, and focus on growth.” The partnership also promises instant settlement for merchants, addressing a longstanding pain point for small businesses that often wait days for transaction funds.
The push for contactless payments arrives as Nigeria battles inflation and currency volatility, with digital transactions surging by 298% between 2022 and 2024, according to Central Bank data. Yet challenges persist: nearly 40% of adults remain excluded from formal financial services, and cash still dominates rural economies. Moniepoint’s existing infrastructure—over 1.5 million POS terminals and 600,000 agents—positions it to bridge this gap, particularly for SMEs that form Nigeria’s economic backbone.
Critics, however, question whether new card schemes can compete with entrenched mobile money platforms like Opay and PalmPay. Analysts argue success hinges on affordability and reliability. “The real test is whether AfriGO cards can undercut transaction costs and work offline in areas with poor connectivity,” said Lagos-based fintech expert Ngozi Adeleke.
For now, the collaboration signals Nigeria’s ambition to carve out a self-reliant digital economy. As Eniolorunda noted, “Reshaping payments isn’t just about technology—it’s about unlocking ambitions.” With 5 million cards slated for distribution by 2025, the partnership could redefine how Nigeria pays—and who benefits.
News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/nigerian-firms-partner-to-launch-5-million-contactless-cards-boost-financial-access/
