Mobile financial solution to help Africa unlock $3tr digital economy
Plans by African countries, especially Nigeria to transit into a digital economy and use technology to drive growth in the agricultural sector will receive a boost with new solutions being introduced by a Nigerian company.
While Nigeria alone is reportedly losing about $6b yearly to the cash-based economy, making the country to miss out of the global digital economy estimated at over $3t, the firm, Tingo International Holdings Inc, operating in the UK and the US, is currently aiming to build a digital ecosystem that could empower societies and opens up international opportunities with Tingo Pay.
Though the Federal Government, earlier this year revealed a plan to transit into a digital economy, most African countries except Kenya still operate a cash-based economy.
But the Group Chief Executive of Tingo International Holdings Inc, Dozy Mmobuosi, insisted that Tingo Pay would create support for domestic economies of African countries as well as provide technological and financial inclusion capable of ending poverty.
The solution will specifically cater to players on the Nwassa platform which is the firm’s proprietary platform launched in 2019 to connect all the players in the African agricultural value chain, Mmobuosi.
Beyond connecting African farmers to other players, he stated that Nwassa gives the farmers access to the global market for their produce as the platform currently processes over two million transactions daily within the entire agricultural value chain.
The payment system is reportedly handling 500,000 transactions on a daily basis.
“Tingo Pay is only available to the Nigerian market at the moment and it comes pre-installed on Tingo branded devices which are sold to farmers with payment spread over a 36-month period.
As at last year, 9.32 million of those devices have been sold to Nigerians on the Nwassa platform. The payment platform is being used by the farmers and other players on the Nwassa platform as an electronic wallet for payment settlement, brokerage, and escrow.
While Tingo Pay was built specifically for players on Nwassa’s platform, the company is already positioning the platform to become one of the leading names in mobile payment on the continent by making it available to the general public.
In its part to deepen financial inclusion in Africa, the company is working on adding core financial services offerings on the payment platform, especially loan, utility payment, insurance as well as a book-keeping feature.
The ability for merchants to convert their mobile phones to mobile point of sales terminal could fast track, Central Bank of Nigeria’s cashless policy since more merchants are expected to make use of the platform when released, the company stated.