The latest marketing strategy- ‘Buy Now Pay Later’ (BNPL) is fast gaining momentum in Nigeria, with projections that the market would grow by 13.8 per cent to reach $1.62 billion this year.
Latest report by ResearchAndMarkets.com revealed that the BNPL market in the country experienced robust growth between 2021 and 2024, achieving a CAGR of 23.1 per cent.
It added that this upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 10.0 per cent between 2025 and 2030.
“By the end of 2030, the BNPL sector is projected to expand from its 2024 value of $1.42 billion to approximately USD 2.61 billion,” it stated.
The “Nigeria Buy Now Pay Later Business and Investment Opportunities Databook” provides a detailed data-centric analysis of the BNPL industry in Nigeria, covering market opportunities and risks across a range of retail categories.
It stated: “Nigeria’s BNPL market is experiencing rapid growth, driven by increased e-commerce activity, financial inclusion initiatives, and changing consumer preferences.
“The expansion of BNPL beyond online retail into sectors such as transportation and utilities highlights its growing role in the broader financial ecosystem. With projections indicating steady growth over the next few years, the market will likely see increased competition, prompting providers to diversify their offerings and enhance accessibility to a wider consumer base.
“Strategic partnerships further strengthen BNPL adoption, allowing fintech firms and retailers to integrate flexible payment solutions into their platforms. As these collaborations continue, BNPL services are expected to become more mainstream, reshaping how consumers manage credit and financial transactions.
“Over the next two to four years, Nigeria’s BNPL sector will continue evolving, offering more tailored financing options while contributing to the overall digital transformation of the country’s financial landscape,” it stated.
Looking ahead, it stated that competition in Nigeria’s BNPL space is expected to intensify, with established players expanding their offerings and new entrants driving innovation.
“Regulatory developments, including Central Bank of Nigeria guidelines for non-interest digital banks and tax incentives for fintech firms will further shape the sector, ensuring sustainable growth. As the market evolves, BNPL services are poised to play a significant role in Nigeria’s financial ecosystem, driving financial inclusion and enhancing consumer purchasing power,” it stated.
