Fintech Brands Revenue In Nigeria, Ghana, Others To Hit $30.3 billion By 2025
With the expectation that the huge, under-banked population in Africa would be getting more access to the internet, McKinsey & Co, has reported that the revenue of Fintech brands in Nigeria, Ghana, and some other African countries may soar to $30.3 billion by 2025, eight times higher than in 2020.
It noted that financial services revenues in Ghana and francophone West Africa will enjoy the fastest growth, with Nigeria and Egypt following closely.
The anticipated increase is part of a rapid expansion in financial services income that’s expected to grow to $230 billion from $150 billion over the same period, the consulting company said in a research report.
About two-thirds of Africa’s 1.3 billion people don’t have a bank account or full access to financial services, and 90 percent of all transactions on the continent are still cash-based, according to the report.
The situation creates a growth opportunity for fintech companies, a Bloomberg report noted.
“African fintech is emerging as a hotbed for investment, with average deal sizes growing and the proportion of fintech funding in Africa increasing over the past year, bringing jobs and growth to African economies. And the story is only just beginning,” it added.