TechPression

Tag: Payment

  • Tranglo expands to Africa, brings cross-border payments to 7 nations

    Tranglo expands to Africa, brings cross-border payments to 7 nations

    Tranglo, a prominent cross-border payment centre, announced its expansion into Africa on Tuesday. This expansion will process payments in Ethiopia, Kenya, Liberia, Madagascar, Mali, Senegal, and Zambia.

    This strategic expansion provides convenient, cheap cross-border payment solutions to one of the world’s fastest-growing economic regions to increase financial inclusion.

    Read also: AfriGO, OPay’s alliance to transform Nigeria’s digital payment ecosystem

    Impact on remittances and financial inclusion

    Remittances are crucial for families, small businesses, and local economies in Africa. In 2023, global remittances were 1.5 times larger than foreign direct investment. These funds help tackle issues like food insecurity and debt in countries such as Liberia. The World Bank reported that Sub-Saharan Africa received USD 54 billion in remittances in 2023, with a projected 1.5 percent increase for 2024.

    High remittance fees have limited financial access in the region. Tranglo aims to solve this by offering fast and affordable services, making it easier for people to send money across borders, especially in areas with weak banking systems.

    At launch, people in Mali can send and receive money using bank transfers. In Ethiopia, Kenya, Liberia, Madagascar, Senegal, and Zambia, users can send and receive money through e-wallets in their local currencies. Cash recipients can access their funds almost instantly. Additionally, e-wallet services are now available in Morocco.

    Statement from Tranglo’s CEO

    Tranglo Group CEO Jacky Lee stated: “Africa’s dynamic growth in remittances and mobile adoption highlights the need for reliable and affordable cross-border payments.

    “With this expansion, Tranglo partners can now provide payout services to millions of unbanked or underserved individuals across these countries, facilitating secure access to funds for essential needs and economic growth.”

    Tranglo Connect, a cross-border payments technology, helps banks and enterprises pay. Tranglo connects payout and partner services with direct API access, unifying the process. Companies may safely pay over 100 countries using Tranglo Connect.

    Read also: 19 African startups selected for Visa’s 2024 Fintech Accelerator Program, with a Focus on Women in Leadership

    About Tranglo

    Tranglo is a leading cross-border payment hub established in 2008, specialising in business payments, remittances, and mobile payment solutions.

    With offices in Kuala Lumpur, Singapore, Jakarta, Dubai, and London, Tranglo operates in over 100 countries, connecting over 250 mobile operators and 1,500 banks/wallets.

    They offer 60 cash pickup services for easy access to funds. Partnering with RippleTranglo enhances its services using blockchain technology, ensuring efficient cross-border payouts. Their network enables instant transfers, making financial access more accessible for millions globally, particularly in underserved regions.

  • How the first ever tokenised wearable technology in Somalia is shaping Africa’s financial landscape

    How the first ever tokenised wearable technology in Somalia is shaping Africa’s financial landscape

    Premier Bank in Somalia, in partnership with Mastercard and Tappy Technologies, introduced Tap2Pay, a tokenised payment wearable solution, marking a new era in the evolution of digital payments in Africa. 

    This innovative solution introduced this October, leverages Near Field Communication (NFC) technology to create a seamless, secure, and convenient consumer payment experience. 

    As the first bank in Africa to introduce such a service, Premier Bank is setting the pace for digital transformation across the continent’s financial sector.

    Read also: JPMorgan secures licence to open office in Kenya

    Transforming Everyday Payments with Tap2Pay

    In an era where convenience and security are paramount, Tap2Pay promises to redefine how consumers interact with their finances. 

    Tap2Pay integrates NFC technology into everyday accessories like eyeglasses, rings, wristbands, smartwatch straps, and phone cases, allowing users to make payments by simply tapping their wearable at compatible point-of-sale (POS) terminals or ATMs.

    This breakthrough offers a simple solution for consumers seeking ease of use in financial transactions. Everyday purchases like groceries, transportation, or even coffee can be handled with a quick tap, eliminating the need for physical cards or cash. 

    This ease of use is crucial in Africa, where mobile banking and digital wallets have already begun to take root, making cashless payments more accessible.

    The Power of Tokenization: Security at the Forefront

    At the heart of Tap2Pay’s offering is its focus on security through tokenization. Tokenisation replaces sensitive card details with encrypted tokens, ensuring that personal information remains protected during transactions. 

    This method significantly reduces the risk of fraud and hacking, making transactions more secure than traditional magnetic stripe cards.

    Mark Elliott, Division President for Africa at Mastercard, highlights the importance of this technology: “Tokenization is at the heart of the next generation of secure, contactless payments. By replacing sensitive data with encrypted tokens, we are ensuring that consumers can pay with confidence.”

    This added layer of protection is a game-changer for a region that has faced challenges with financial security and digital fraud. It enables consumers to embrace digital payments without sacrificing privacy or safety, building trust in new technological solutions.

    Read also: New tax bill: Nigerians must present tax ID to open, operate bank accounts

    Expanding financial inclusion through wearable technology

    Tap2Pay has the potential to boost financial inclusion. Mobile money and digital payments have become vital in Africa, where access to traditional banking services remains limited.

    However, integrating NFC-enabled wearables takes this further by offering a practical and user-friendly method of making transactions, even in remote areas.

    The adoption of Tap2Pay means that consumers in regions with limited access to bank branches can still participate in the digital economy, using wearables to connect with their finances in ways previously unimaginable. 

    This represents a bridge between the unbanked and the broader financial system, enabling more people to access digital financial services with minimal friction.

    The rise of wearable payments in Africa

    As the global wearables market is projected to reach $80.39 billion by 2030, Africa’s adoption of this technology could revolutionise payment practices. By blending everyday accessories with advanced payment technology, wearable solutions like Tap2Pay present a futuristic approach to banking—one where financial transactions become an integral part of daily life.

    This innovation goes beyond convenience; it sets a new benchmark for how financial services can evolve to meet the needs of a young, tech-savvy population eager for change. By focusing on ease of use, security, and accessibility, Tap2Pay is positioned to become a staple in Africa’s digital transformation journey.

    The launch of Tap2Pay is more than just a technological milestone—it represents a shift in how financial services can be delivered in Africa. By making secure, tokenised payments accessible through wearables, Premier Bank and its partners are pioneering a new standard in the continent’s financial ecosystem. 

    For consumers, this means a future where transactions are seamless, secure, and always within reach, signalling the emergence of a new era in digital finance where innovation drives progress and inclusion.

  • XTransfer extends payment services to over 200 countries

    XTransfer extends payment services to over 200 countries

    XTransfer, China’s leading B2B cross-border trade payment platform, has officially launched its international services, extending its footprint to over 200 countries and regions globally.

    After initially introducing international services in Hong Kong in April last year, the platform aims to cater to Micro-, Small, and Medium-sized Enterprises (MSMEs) engaged in cross-border trade.

    Commitment to MSMEs and Impressive Market Presence. Founded in 2017, XTransfer has demonstrated a steadfast commitment to China’s domestic market, focusing on providing secure, compliant, fast, convenient, and cost-effective cross-border trade payment solutions for MSMEs. With a customer base surpassing 400,000 enterprises, XTransfer has earned the status of a fintech unicorn and is recognized as the top platform in China’s industry.

    Read also: Bank of Tanzania grants authorisation to DPO Pay for digital payment services

    Global Expansion and Market Reception

    In mid-2023, XTransfer entered Hong Kong’s market, extending cross-border trade payment and financial services to local trading enterprises. The platform has already received positive feedback and inquiries from markets such as Hong Kong, Nigeria, and Vietnam, having served over 1,000 overseas trading enterprises. Currently, around 30,000 businesses are seeking consultation for account opening services.

    Future Global Presence and CEO’s Vision

    In 2024, XTransfer plans to fully expand its services worldwide, including regions like the U.S.A, Canada, the United Kingdom, Southeast Asia, South Asia, Africa, the U.A.E, and Latin America. Bill Deng, Founder and CEO of XTransfer, emphasized the company’s active partnerships with local licensed financial institutions globally to provide innovative cross-border payment solutions for local MSMEs.

    Addressing Challenges Faced by Global MSMEs

    Acknowledging the challenges faced by global MSMEs in obtaining sound financial services from traditional banks, XTransfer has built a data-based, automated, Internet-powered, and AI anti-money laundering risk management infrastructure. This has gained the trust of international financial institutions like J.P. Morgan Chase Bank, DBS Bank, and Deutsche Bank. XTransfer aims to enable MSME clients to open accounts with renowned financial institutions, offering secure and compliant cross-border collection and payment services.

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    Transformative Impact on Trade Capital Flow

    XTransfer clients benefit from services such as convenient cross-border collection and payment, efficient foreign exchange, and more. The platform facilitates secure and compliant 24/7 payment settlement, potentially saving 95% of remittance fees and 20% of currency conversion costs. This efficiency is expected to result in hassle-free trade capital flow, providing a unified platform for global buyers and sellers and saving up to 10% of trade costs along the entire chain.

    Driving Financial Inclusion for MSMEs Globally

    As an innovative unicorn, XTransfer remains dedicated to its mission of enhancing financial inclusion for MSMEs worldwide. The platform supports MSMEs through Generative AI tools to improve competitiveness, foster business growth, and reduce potential inequality in the global marketplace. With its global expansion, XTransfer aims to bring extreme convenience to MSMEs engaged in cross-border trade.

  • AfriBlocks connects African freelancers to multinational corporations

    AfriBlocks connects African freelancers to multinational corporations

    AfriBlocks, a pan-African freelance talent marketplace, has partnered with KyckGlobal to provide the Visa push-to-card payment process to freelancers. For now, the innovation is set to debut in four African countries: Kenya, Zambia, Ghana, and Namibia.

    This approach is in line with AfriBlocks’ objective to deliver inexpensive payment options to African contractors while also improving the continent’s gig-economy technological infrastructure to enable smooth collaborations between global customers and distant African talent.

    Due to poor banking infrastructure and high transaction fees, African freelancers often have difficulties receiving payments from overseas customers. Inconsistent KYC compliance also has an impact on the degree to which African banks can service their customers in terms of international transactions. 

    The integration of AfriBlocks with KyckGlobal intends to alleviate these challenges by making it simpler for freelancers to receive payments from overseas customers. The integration not only simplifies the payment process but also promotes financial inclusion for Africa’s burgeoning freelancing population.

    Read also: Former Twitter CEO Jack Dorsey launches alternative App on Android, Bluesky

    Kyc Global to offer additional cross-border payment choices

    AfriBlocks intends to expand the number of African nations that have access to the Visa push-to-card payment process. In the future, AfriBlocks plans to provide other cross-border payment options through the KyckGlobal platform, such as Visa push to account, wires, and international ACH.

    AfriBlocks CEO Tongayi Choto stated, “We want to give contractors who use the AfriBlocks platform access to convenient and secure payment solutions while also creating transparency and trust. Our collaboration with KyckGlobal accelerates the development of new solutions to meet the challenges that African freelancers face in the digital economy.”

    KyckGlobal CEO Donald Boeding said, “We’re delighted to expand the global talent pool with AfriBlocks by providing streamlined cross-border payment solutions. Faster and more reliable XB payments level the playing field of the digital economy, and AfriBlocks is well-positioned to foster greater financial inclusion for freelancers across Africa.”

     

    About Kyc Global

    KyckGlobal accelerates business by streamlining digital disbursements and offering a diverse range of payment formats from a single point of reconciliation. KyckGlobal provides payment type flexibility, shorter settlement times, and a payer-branded workflow for an enhanced payee experience. The solution lowers overhead, enhances visibility, and boosts customer and employee happiness. 

    KyckGlobal enables Fortune 500 and single-location businesses to give their payees a variety of alternative payment options, including Same Day ACH, Debit, PayPal, Stored Value Cards, Cash, Bitcoin, and others.

    Payers may divide their payees into groups and remit payments appropriately, as well as allow their payees to split and request out-of-cycle payments. Document storage, tax form generation, payment statements, and other workforce solutions are available.

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    About AfriBlocks

    Founded in 2020, AfriBlocks is a rapidly expanding network that links you with skilled, qualified, and outstanding African Professionals. AfriBlocks is a Pan-African freelance tech and design talent marketplace that connects verified African freelance workers with businesses all over the globe. 

    AfriBlocks provides intuitive gig ways to communicate and secure payment solutions to freelancers and customers, making it simple for organizations to get professional and cheap remote services. 

  • Chapa launches online payment gateway service for businesses

    Chapa launches online payment gateway service for businesses

    An Ethiopian fintech startup, Chapa, has launched an online payment gateway that enables businesses to accept payments from people worldwide. Chapa makes it possible for businesses and organizations to accept any local or international digital payment method from anywhere on the globe. Any current digital platform may include its payment APIs.

    According to co-founder and CEO Nael Hailemariam, “Chapa’s goal is to enable Ethiopian company owners and entrepreneurs to prosper in the international market.” “This launch firmly marks our entrance into Ethiopia’s financial sector, and we anticipate growing our footprint in the digital ecosystem growth throughout East Africa in phase two and the rest of Africa in phase three.” By affecting critical national concerns, we have been able to show our effect in a short amount of time. We anticipate keeping up our dialogue with different stakeholders and advancing our CSR objective.

    Read also: Zapper Collaborates With Stitch To Allow Customers To Make Instant Payments

    What Services does Chapa Offer?

    Chapa was made after the National Bank of Ethiopia opened the fintech industry to tech companies in 2020. Out of more than a dozen companies that sought a payment gateway license over the previous two years, Chapa was the third to get approval from NBE, after ArifPay and SunPay.

    Nael Hailemariam and Israel Goytom started the company. Both of them have worked in the IT industry in Asia, Europe, and North America. It has also hired several advisers from companies, including JP Morgan, Google, and LinkedIn, with diverse experience. Chapa is focusing on the African market and its goal of helping and integrating 100,000 entrepreneurs and firms into the global economy by 2025. 

    Along with offering its merchants metrics, data, and analytics to assist them in gaining insight into their business operations and making data-driven choices, Chapa also provides its high-volume processors with a discount on the transaction charge. Recall that Chapa joined the Mila-Quebec Artificial Intelligence Institution, the most prominent deep learning institute in the world, last month. Because of this relationship, Chapa is able to improve its research in the fields of artificial intelligence and machine learning. This helps Chapa make it easier for SMEs and companies to get access to financial services. 

    Chapa also wants to use its past projects as a starting point for its current activities. In order to earn $300,000 for the Great Ethiopian Renaissance Dam, Chapa founded MyGerd.com last year in cooperation with Ethiopian Electric Power (EEP), Flutterwave, and Zemen Bank (GERD).

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    The company then launched Eyezon in November 2021 with the help of the Ethiopian Diaspora Agency (EDA) and the Commercial Bank of Ethiopia. This brought in more than USD 6 million for Ethiopians who had been forced to move within their own country and for health institutions that had been destroyed by violence (CBE).

    Chapa has built and bought holy-grail tools, techniques, and methods to ensure that our high-tech fixes are good for our customers. Chapa’s main goal is to solve problems with payments and transactions that are common in developing countries, especially in East Africa. It only made sense to develop an informal way of pronouncing “money” in order to engage with the young on a more profound but lighthearted level. It was for this reason that the moniker “Chapa” was born. A group of Ethiopian engineers, researchers, and entrepreneurs founded the company in 2020, with its headquarters there.

  • Ghana’s SecondSTAX Raises $1.6M in Funding

    Ghana’s SecondSTAX Raises $1.6M in Funding

    SecondSTAX, a platform that lets broker-dealers, asset managers, pension funds, and institutional traders enter markets outside their own country, had recently raised $1.6 million in pre-seed funding from private investors and VC firms like LoftyInc Capital, Orbit54, and STEMeIn, to bolster its efforts.

    SecondSTAX, the co-founder of SecondSTAX and its chief government officer, offers a wealth of experience in such a daunting endeavour. He worked at Goldman Sachs for over a decade and managed consulting and software projects for businesses in the financial services and capital markets. Investors seem to be interested in this round start to become incrementally impactful in terms of being able to shift us from startup mode to an actual running concept generating meaningful revenue,” said the chief executive.

    Tawiah co-founded the corporation with Duke Lartey. SecondSTAX gives you access to debt and equity instruments through different African bond and stock exchanges. The B2B capital markets infrastructure platform also claims that it should assist in financing foreign businesses that must invest in developing and frontier markets on the continent. Funding organizations integrated into its platform may also keep assets in many currencies, reducing the risk of a single foreign exchange and the volatility of their profits, whether in Africa or abroad, according to Fintech.

    How does SecondSTAX work?

    To comprehend how SecondSTAX works, Tawiah suggests picturing the company’s platform as a layer in the order of a series of concentric rings. The first and second circles are institutional investors from developed markets and those from Africa interested in investing in a range of stocks and bonds available on African exchanges. The exchanges are found in the fourth circle and accessible by secondSTAX, the third circle.

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    “You’ve got exchanges where securities are traded in every nation. Nigeria is a silo, identical to Ghana, Kenya, South Africa, and so forth. SecondSTAX successfully aggregates those exchanges throughout the continent. It’s that one platform that hyperlinks all of them collectively. After that, as an institutional investor like Goldman Sachs in New York, Financial institution of America within the U.Ok., or a boutique agency out in Singapore, they’ve entry to this platform to touch every one of those exchanges.”

    The CEO claims that once the company infrastructure is steady operational, it will consider expanding its capabilities to serve B2C investment management applications. Then, using white-labelled applications created by brick-and-mortar brokers and powered by SecondSTAX or third-party wealth tech apps like Bamboo, HashApp, Robinhood, and Hisa, retail investors inside and outside of Africa would be able to access and trade cross-border stocks and bonds.

    “We are not distinguishing between brokers; they can be brick and mortar or startups. Our potential client base is much broader than one type of institution; so long as the broker has a digital play, they can use our infrastructure to access African exchanges.”

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    The company plans expansion

    The Fintech launched in 2020 is considering capital markets in Ghana, Kenya, Nigeria, South Africa, Morocco and Egypt. However, it will debut in the first two, providing market order routing for all stocks across the exchanges in Ghana and Kenya and permitting cross-border transactions within both capital markets through its sponsored broker agreements.

    According to Tawiah, the investment will enable SecondSTAX to expand into other nations by the end of the year and carry out the associated tasks, particularly those related to licensing and regulatory matters. Additionally, there are also plans to expand the personnel and strengthen the technology by creating new features that its clients demand. The chief executive said, “We anticipate the income from these customers starting to become increasingly influential in the next 18 to 24 months in terms of being able to transfer us from startup mode to a real functioning concept producing substantial revenue.”