Nigerian fintech unicorn Moniepoint has partnered with AfriGO, the nationwide home card scheme, to roll out 5 million contactless fee playing cards and tap-to-pay options throughout Nigeria. The transfer aligns with Nigeria’s ongoing shift towards contactless funds.
The partnership might drive widespread adoption of contactless fee in Nigeria contemplating Moniepoint’s broad distribution community throughout the nation. By leveraging Moniepoint’s huge community of brokers and retailers, the initiative goals to convey “faucet and go” comfort to an economic system nonetheless dominated by money and PIN-based card transactions, accelerating the Central Financial institution’s cashless agenda and lengthening digital funds into underserved communities.
“At this time, over 50% of retailers nonetheless depend on money, as a result of it’s quick and dependable,” mentioned Didi Uwemakpan, Moniepoint’s VP of company affairs. “If money is quick and dependable, what’s that factor that may mimic money and nonetheless helps the economic system develop?”
Moniepoint’s partnership with AfriGo comes one week after TechCabal reported that Palmpay partnered with CashAfrica, a contactless fee infrastructure supplier, to roll out tap-to-pay performance on its POS terminals, beginning with 1,000 units in a pilot section earlier than a nationwide enlargement in March.
Moniepoint is constructing its contactless fee infrastructure and plans to launch contactless-enabled playing cards in H2 2025. The corporate selected AfriGo for its price effectivity when in comparison with world counterparts.
“Whereas we would resolve to announce one other card scheme companion, for us, it’s about how will we drive digital funds in Nigeria. On the finish of the day, do my clients need this, do my clients discover worth on this and is it price environment friendly?” Uwemakpan shared. “For AfriGo, it’s about capturing part of the market that has not been already captured.”
Whereas contactless fee is a staple in markets like Europe and China, many Nigerians are unfamiliar with it. “The duty is on us to teach the retailers and customers,” Uwemakpan added.
Moniepoint will adjust to the CBN’s contactless fee tips which require danger administration measures akin to a per-transaction restrict of ₦15,000 and a ₦50,000 every day restrict. “The aim is to introduce sufficient friction to safeguard clients from fraud,” the corporate mentioned.
Moniepoint will decide the brink at which PIN authentication turns into mandatory for transfers, with median transaction worth for card funds pegged at ₦5,000.
If profitable, the Moniepoint–AfriGO partnership may very well be the start of a widespread adoption of contactless fee in Nigeria.