PalmPay, Africa-focused fintech platform has hit 25 million users on its smartphone app with an “extensive” network of 500,000 mobile money agents and 300,000 merchants in its payments ecosystem.
According to the fintech, its rapid growth within just four years of its market entry in Nigeria is a testament to the company’s robust strategy centred on offering secure, user-friendly and inclusive financial services.
“We are proud to be a driving force of financial inclusion and cashless payment adoption in Nigeria,” Global Chief Marketing Officer (CMO) of PalmPay, Sofia Zab, stated at a press conference in Lagos.
“PalmPay’s growth validates our approach and illustrates the increasing demand for innovative fintech solutions that address the unique needs of Africa’s underserved population.”
PalmPay credits the user-friendliness of its application for simplified digital transactions, allowing for swift and convenient transfers. This, it said, had driven a shift in consumer behaviour from cash to digital payments.
At present, the company processes more than five billion USD per month, the company executives stated, saying the app offers a comprehensive suite of financial services that empowers its customers with tools to manage their finances in one place.
This week, the company launches its savings service, which it added includes a 20 percent annual interest savings plan available to all users. The fintech also provides banking services for businesses, equipping them with dedicated apps, web portals and POS machines.
In light of its desire to promote financial inclusion, around 30 percent of its users attest that their first-ever financial account was created on the app, PalmPay noted. And with regard to transactions completed within 10 seconds, the platform said it had a 99.5 percent success rate.
It argued that such feats had distinguished the app in what it described as a highly competitive fintech space.
“PalmPay is more than a digital wallet – we are building a comprehensive platform to offer consumers all the tools they need to thrive financially. As we move forward, our aim is to become Africa’s financial super-app,” Zab added.
“Our partners benefit from our robust payment infrastructure and data-driven approach, which enables us to connect their offerings directly to their target customers, fostering mutual growth within our digital ecosystem.”
The company’s next strategic step is to bridge the gap between consumers and businesses by digitising merchant payments.
PalmPay said it is onboarding tens of thousands of offline retailers every month, much of them based on referrals.
“The consumer base has now become one of the major driving forces of wider cashless adoption in the Nigerian payments ecosystem,” Managing Director, PalmPay Nigeria, Chika Nwosu, said.
“We see an enormous potential in digitising payments for the retail and informal economy, which reduces their cost of doing business and helps them build the digital track record to qualify for credit and other financial services.”
Looking ahead, PalmPay said it is extending its operations to more countries and plans to offer cross-border transactions in the future. The company further noted that is already piloting services in Ghana and is preparing launch plans for several other African markets.