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Prepaid debit cards can enable companies to take advantage of increased intra-African trade

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By Amber Thetford

As businesses seek to expand across African borders, cashless payment solutions offer a safer method of transferring money. One offering, prepaid debit cards, provides security while mitigating many infrastructure and regulatory challenges, writes Amber Thetford, Chief Product Officer—Card issuing and processing at Onafriq.

As the African Continental Free Trade Area Agreement (AfCTA) increasingly moves into the operational phase, it is becoming clearer that part of its success lies in ensuring that entrepreneurs and small businesses can effectively trade and receive payments across borders.

As the African Union has noted, the trade area will be the biggest since the World Trade Organization was formed in 1995. Africa’s population is currently 1.2 billion people, a figure that is expected to reach 2.5 billion by 2050.

South Africa took its first step in making AfCTA a reality, when the now-former Minister of Trade, Industry, and Competition, then Ebrahim Patel, launched the implementation of the start of preferential trade this year. The South African Revenue Service also certified two consignments to Ghana and Kenya.

Yet, with trade expected to grow among members from the current between 15% and 18%, a safe way of moving money is required given the risk that cash presents. Some nine-tenths of transactions in sub-Saharan Africa are, based on World Bank information, in cash.

The large amounts of cash involved in trade are also cumbersome and difficult to physically transport between markets. Card payments, part of the digital ecosystem, can enable efficient, secure, and transparent transactions that are essential for facilitating trade.

Card payments can eliminate the need for manual intervention and reconciliation when it comes to banking and bookkeeping. This, the World Bank states, makes them, on average, three times more cost-effective than conventional purchase order costs.

While mobile money payments have greatly improved Africa’s ability to make cross-border payments, they do not meet the full scope of needs of individuals or businesses. As the United Nations points out, there are regulatory bottlenecks, while a lack of interconnectivity among mobile transactions in some countries means that people cannot transfer money across borders.

Moreover, limitations of infrastructure, accessibility, and interoperability make it difficult for their users to access the global digital economy. As a result, this type of cross-border payment can be limited.

There are solutions to these dilemmas. Prepaid cards can enable businesses and individuals to transact with global institutions and marketplaces without the need to own a bank account.

This option removes a pain point for a business that would otherwise need to accept local alternative payment methods or cash. Navigating challenges like high fees, currency shocks and a lack of access to traditional banks can be simplified through prepaid cards. This makes them a pivotal instrument that enhances Africa’s connection to the global economy.

For example, one of our customers provides payroll solutions for seafarers and cruise ships, which frequently travel to different countries. Once the card is loaded, it is very convenient for a sailor to use it as one would a normal debit card and swipe to pay for purchases or transmit money across borders.

The beauty of this option is that whoever is loading the card with money, can be based anywhere in the world, with the same also being true of the person holding the card.

Prepaid cards can also be used to manage expenses because they can be provided to managers of, for example, a bookstore, who can then make independent decisions about business-related purchases, but only up to a certain amount.

This has the added advantage of speeding up operations as there are no lengthy delays across the company when it comes to acquiring stock, while it also goes some way towards eliminating fraud as the card has a set limit.

Larger companies with staff who travel extensively can also provide gratuities for their employees, who can then cover incidental expenses without having to dip into their own pockets or bring back paperwork to be reimbursed.

A platform that simplifies a user’s ability to transfer money to cards brings the AfCTA dream closer to reality.

The versatile power of prepaid cards can be used to promote free trade between countries and unite Africa’s fragmented payment landscape.

Prepaid solutions can aid businesses seeking to operate in other African countries to thrive – making AfCTA’s aim a reality and boosting economic growth for all.


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

Broadcasting

Stakeholders Endorse Hybrid Model for Nigeria’s Digital Switch

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Stakeholders in Nigeria’s broadcasting industry have endorsed a hybrid digital broadcasting model that combines Digital Terrestrial Television (DTT), Direct-to-Home (DTH) satellite services, and digital application-based platforms for the country’s Digital Switch Over (DSO) programme,

Stakeholders Endorse Hybrid Model for Nigeria’s Digital Switch

The resolution was reached at a high-level stakeholder meeting convened by the National Broadcasting Commission (NBC) under the supervision of the Federal Ministry of Information and National Orientation at NICON Luxury Hotel, Abuja.

The meeting, chaired by Alhaji Mohammed Idris, minister of Information and National Orientation, brought together regulators, broadcasters, signal distributors, set-top box manufacturers, content producers, satellite operators, and industry associations to chart a sustainable path for Nigeria’s long-delayed digital migration project.

Addressing stakeholders during the closed-door engagement session, the minister described the meeting as a collaborative effort aimed at finding practical solutions to challenges facing the DSO project.

“This engagement is a family discussion aimed at finding practical solutions to ensure the success of the Digital Switch Over project. Government has no hidden agenda, and all decisions will be guided by national interest, stakeholder inclusion, and the long-term sustainability of the broadcasting industry,” he said.

The minister acknowledged concerns raised by industry players regarding stakeholder consultation and participation in previous phases of the project, noting that while broader engagement should ideally have commenced earlier, there remained an opportunity to build consensus and move forward together.

“While there may be differing views on implementation approaches, there is broad agreement that Nigeria must complete its digital migration journey. We must work collectively to achieve this national objective,” he stated.

Mr Charles Ebuebu, director general, NBC, described the stakeholder meeting as “iconic”, noting that it marked a turning point in Nigeria’s efforts to complete the digital migration.

He said the country had spent over a decade on the DSO journey, missing several deadlines, but expressed optimism that a clear implementation plan was now being developed.

Ebuebu said the commission, in collaboration with stakeholders, is working toward a sustainable model that ensures return on investment for industry players while delivering value to the nation.

He said that the outcome of the consultation process would produce a unified framework for implementation and communication going forward.

Mrs Jane Nkechi Egerton-Idehen, managing director, Nigerian Communications Satellite (NIGCOMSAT), said the DSO initiative forms part of broader federal interventions aimed at building a sustainable broadcasting ecosystem.

She explained that government investments had supported satellite coverage, national call centres, and regional production studios across the country.

According to her, the objective is to address gaps in content distribution and ensure that Nigerian broadcasting reflects the country’s linguistic and cultural diversity.

“We are not departing from the original plan. We are innovating on how it is implemented,” she said.

She also highlighted efforts to expand access to production facilities across geopolitical zones to support content creators and reduce dependence on major urban centres.

The meeting attracted 128 participants, including the Director-General of the NBC; Permanent Secretary of the Federal Ministry of Information and National Orientation, Dr. BRM Ukire; Director-General of the Nigerian Television Authority (NTA), Abdulhamid Dambos; Director-General of the Advertising Regulatory Council of Nigeria (ARCON), Dr Olalekan Fadolapo; Chairman of the Broadcasting Organisations of Nigeria (BON), Chief Tony Akiotu; Managing Director of NIGCOMSAT Ltd, Mrs Jane Nkechi Egerton-Idehen; and representatives of licensed broadcasters and other industry stakeholders.

During deliberations, stakeholders agreed that the DSO project remains both necessary and desirable for Nigeria, emphasising that the transition should prioritise national interest, industry sustainability, local content development, local manufacturing, and job creation.

Among the key resolutions reached was the affirmation that Digital Terrestrial Television (DTT) remains a critical component of the DSO framework and should not be discontinued. Participants also agreed on the need to reconstitute the DigiTeam implementation platform to provide a structured mechanism for consultation, collaboration, and industry participation.

Stakeholders further called for stronger engagement between regulators and industry players, with an agreement that stakeholder meetings would be held at least quarterly to ensure continuous alignment on implementation strategies.

The meeting also welcomed ongoing efforts by the NBC and ARCON to develop a sustainable business model aimed at improving audience measurement systems, strengthening advertising revenue generation, and enhancing the long-term viability of broadcasting organisations.

In addition, stakeholders were assured by NIGCOMSAT of the reliability of satellite infrastructure supporting the DSO platform.

The company disclosed that backup arrangements with alternative satellite operators were already in place to guarantee uninterrupted service and eliminate the need for subscriber dish realignment.

As part of the agreed next steps, the Federal Government, through the Ministry of Information and National Orientation, will reconstitute the DigiTeam stakeholder platform, while the NBC will continue consultations with set-top box manufacturers and other industry stakeholders to address concerns relating to existing investments and future participation in the digital broadcasting ecosystem.

The stakeholders expressed confidence that the renewed collaborative approach would accelerate Nigeria’s digital migration, improve broadcasting services, expand audience reach, attract investment, create jobs, and deliver greater value to Nigerian consumers.

 


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MTN Launches One TV with Free-to-View, Pay-as-You-Go

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MTN Group has begun rolling out MTN One TV, a new entertainment proposition designed to make digital video content more accessible, relevant, and flexible for customers across African markets.

MTN Launches One TV with Free-to-View, Pay-as-You-Go

Introduced in line with MTN’s Ambition 2030 strategy, MTN One TV brings together local storytelling, live channels, international programming, and market-specific viewing options tailored to how customers across the continent access and pay for digital entertainment.

The proposition is designed to give customers greater choice in how they watch content, with viewing models that may vary by market and can include free-to-view content, advertising-funded experiences, pay-as-you-watch access, and subscription offerings.

Depending on local availability, customers may also be able to pay through airtime, Mobile Money, and other locally supported payment methods, helping to reduce common barriers to streaming access.

Beyond enhancing customer experiences, MTN One TV creates new opportunities for African creators, broadcasters, advertisers, and ecosystem partners by helping connect content to wider audiences through MTN’s scale across connectivity, payments, and digital services.

By bringing together a broad mix of content experiences under a single proposition, MTN aims to support greater content discovery, broader audience reach, and sustainable growth across Africa’s digital entertainment ecosystem.

Anchored in MTN’s strategic platforms of Connectivity, Fintech, and Digital Infrastructure, MTN One TV forms part of the Group’s broader ambition to build digital experiences that create value for customers while enabling participation and growth across Africa’s digital economy.

“Entertainment is increasingly becoming an important gateway to digital participation,” said Selorm Adadevoh, MTN group chief commercial, strategy and transformation officer.

“Through MTN One TV, we are leveraging the scale of our connectivity, fintech, and digital capabilities to make relevant content more accessible while creating new opportunities for Africa’s creative and digital economies. This is aligned with our ambition to deliver digital solutions for Africa’s progress.”

MTN One TV is being introduced progressively across MTN markets through a phased rollout approach that reflects local market needs, existing services, and partnership opportunities.

Over time, MTN will bring together a combination of video capabilities, content partnerships, and customer experiences under the MTN One TV brand to create a more consistent and scalable entertainment proposition across its footprint.

Through MTN One TV, MTN continues to extend its role beyond connectivity by combining entertainment, payments, and digital services to deliver experiences tailored to the needs of African consumers.

The rollout supports MTN’s Ambition 2030 vision of leading digital solutions for Africa’s progress while expanding access to digital entertainment across the continent.

 


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IATA Drops Bombshell: Nigeria Among World’s Most Expensive Countries to Run an Airline

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International Air Transport Association (IATA) has identified Nigeria as one of the most expensive countries in the world for airline operations, citing high taxes, charges and operational costs that continue to weigh heavily on local carriers.

IATA Drops Bombshell: Nigeria Among World's Most Expensive Countries to Run an Airline

IATA’s Regional Vice President for Africa and the Middle East, Kamil Al-Awadhi, disclosed this during the association’s Annual General Meeting held in Rio de Janeiro.

Al-Awadhi said that although Nigeria’s Minister of Aviation and Aerospace Development, Festus Keyamo, had been pursuing reforms aimed at improving the aviation sector, airlines operating in the country still faced enormous cost pressures.

According to him, the high-cost operating environment has continued to affect the profitability and competitiveness of Nigerian airlines, making it difficult for the industry to realise its full potential.

He noted that excessive taxes, regulatory charges and other operating expenses remained major obstacles to airline growth across the region, with Nigeria ranking among the most challenging markets from a cost perspective.

Al-Awadhi urged member states of the Economic Community of West African States to adopt a proposed 25 per cent reduction in aviation taxes and charges to ease the burden on airlines and passengers.

According to him, lowering taxes and charges would reduce airfares, stimulate passenger traffic and strengthen the competitiveness of carriers operating within West Africa.

He stressed that a more supportive policy environment was critical to unlocking the economic benefits of aviation, including increased trade, tourism and regional integration.

Industry stakeholders have consistently advocated lower taxes and regulatory fees, arguing that the current cost structure makes air travel less affordable and limits the growth of the sector.

IATA’s latest remarks add to calls for governments in West Africa to implement policies that will promote a more sustainable and competitive aviation industry across the region.


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