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How Platforms and Payments are Driving Commerce in Africa

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Is cash still king? Perhaps, but the acceptance and use of digital channels across Africa are rapidly increasing, experiencing their highest adoption rate in history.

Currently, Africa is one of the fastest-growing consumer markets in the world. According to Economist Intelligence, the continent will be the world’s second-fastest-growing major region in 2024, just behind Asia.

In the last decade, e-commerce has experienced phenomenal growth rates worldwide, with e-commerce sales projected to grow to USD 7 trillion globally this year. Across Africa, the retail landscape is undergoing a significant shift as contactless payments and mobile money become widely integrated. Consumers in many African countries are increasingly embracing these methods for transactions.

This SeerBit whitepaper explores Sub-Saharan Africa (SSA), undoubtedly one of the smallest e-commerce regions in the world, but one with high growth potential.

The Rise of e-commerce in Africa

The COVID-19 pandemic has accelerated a major digital transformation across Africa, with the demand for digital payments experiencing a significant and sustained rise. The result? Digital payments have become an essential feature in the continent’s financial landscape.

One of the most significant developments in alternative payment methods in Africa continues to be the rise of mobile money. The phenomenal growth of mobile money can be attributed to three key factors: increased access to technology, challenges in accessing traditional financial services, and the pandemic-driven rise of contactless payments.

This is particularly true in Sub-Saharan Africa, where 144 mobile money providers are at the forefront of transforming consumer transactions. Notably, key players such as M-Pesa (by Safaricom), MoMo (by MTN) and Orange Money dominate the market share, as reported by Statista.

Notably, the region boasts 171 active mobile money service providers, indicating the expanding influence and acceptance of mobile money in the African financial landscape.

The secret to Africa’s pivot to greater e-commerce sales has also been faster growth in B2B sales, which layers online sales onto the existing network of informal retailers in the region, rather than supplanting them. B2B e-commerce platforms in Sub-Saharan Africa are thriving because they have overcome consumer trust and logistics issues by working with and tapping into the informal markets, rather than working around these sales channels. This has allowed the B2B platforms to provide goods into remote regions, well beyond urban areas.

Cross-border transactions have also played a key role in driving e-commerce. They make up more than half of all e-commerce transaction volumes in Sub-Saharan Africa. A portion of these cross-border volumes in SSA come from consumers accessing the rising domestic African e-commerce players across local borders, such as Jumia (Nigeria), Kilimall (Kenya), and Takealot (South Africa). Domestic e-commerce provision in Sub-Saharan Africa is only just beginning. Nevertheless, it presents an opportunity for Sub-Saharan Africa to develop its own big hitters in the market and enhance the continent’s connection to the rest of the world.

Challenges to e-commerce Growth in Africa

Uneven connection across the region
Sub-Saharan Africa is home to more than a billion people, a large proportion of whom live in low-income and lower-middle-income countries. This huge population is not uniformly connected to the internet and there is some evidence that not all users are utilising their connectivity to its full capacity.

High inflation subduing consumer spending
Rising inflation means that individuals have less discretionary income and tend to spend less money on splurges or “luxury” products. Price becomes the leading factor in decision-making for many consumers. Across Africa, this may also mean looking to brick-and-mortar retailers and informal markets which mainly trade in cash to secure goods at lower prices.

Functionality limits user adoption
According to The State of Instant and Inclusive Payment Systems In Africa – SIIPS 2022 report, functionality pain points erode trust.

The lack of inclusivity translates into sub-optimal usage. Consumer research in Kenya, Nigeria, Ghana, Tanzania, Zambia, the DRC and Egypt suggests that many end-users use digital payments only for limited use cases, such as sending and receiving money between friends and family. Consumer payments to merchants remain under-digitized: only 44 percent of individual respondents make P2B payments digitally.

The Role of Payment Platforms
Across Sub-Saharan Africa, a digital payment revolution is quietly unfolding. Fueled by the surge in mobile phones, the drive for financial inclusion, and the push for digital transformation, alternative payment methods are rapidly gaining much welcomed traction. Traditional banking infrastructure often struggles to reach the vast unbanked and underbanked populations, but these innovative solutions bridge the gap, offering financial services to a dramatically wider segment.

For example, according to the Global Findex Database (World Bank), in the region only three percent of the population has access to a credit card, while mobile phones have proliferated quickly, with a 75 percent penetration rate, making alternative payment methods a perfect match for the specific needs of Sub-Saharan Africa.

As Aida Diarra, senior vice-president and head of Visa in Sub-Saharan Africa puts it, “The fact that there are 261 million people today that do not have access to financial services – and combine the fact that there are less than two million businesses that accept digital payments – it creates an environment where innovation has to play a role to drive financial inclusion and commerce across the continent.”

Sub-Saharan Africa is now considered the global epicentre of mobile money, due to its 48 percent of global share of registered accounts. In 2022, this region had 763 million mobile money accounts, out of the 1.6 billion accounts worldwide. Furthermore, this trend has spiked with the high registration of new accounts in 2022, as the area was responsible for 59 percent of all new accounts registered globally.

Mobile money services have gained widespread adoption across the continent, with countries like Kenya and Ghana leading the way. In Kenya, for instance, mobile money platforms have revolutionised the way people transact, with transactions made via mobile wallets equivalent to a significant percentage of the country’s GDP. This success can be attributed to high mobile phone penetration, limited traditional banking infrastructure, and the affordability and convenience of mobile money services.

As the e-commerce sector becomes increasingly competitive, retail businesses need to adjust their approaches to include providing more value propositions for their main audience, localised e-commerce solutions and engaging more with a younger generation of consumers.

Conclusion

Sub-Saharan Africa’s payment landscape is undergoing a dynamic transformation, driven by innovation, alternative solutions and vibrant new market players. However, a critical gap remains. The infrastructure, regulations, and overall payment ecosystem haven’t fully matured to support the optimal development of payment services and remittance flows across the region.

Despite this, e-commerce in Africa is well underway. Estimates suggest about 264 e-commerce start-ups are operational across the continent, active in at least 23 countries. This indicates a significant potential to create new jobs – as many as three million by 2025. These jobs will be directly in online marketplaces, supporting services and spin-off economic activity.

 


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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

E-Business

GenAI Adoption Among African workers Outpace Global Peers

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Africa’s workforce is embracing artificial intelligence (AI) at a faster pace than global peers, but pressure is mounting for organisations to ramp up digital skills development as generative AI (GenAI) begins reshaping roles across industries.

This is according to PwC’s Global Workforce Hopes and Fears Survey 2025, which shows a continent ready for AI-enabled transformation, but facing a narrowing window to prepare, through skills development initiatives.

The survey, covering nearly 50 000 workers worldwide and 1 753 across South Africa, Algeria, Kenya, Morocco and Nigeria, finds that African employees are already integrating AI into daily operations.

Sixty-four percent of respondents in Africa used AI tools in the past year, compared to 54% globally, and the sentiment is overwhelmingly positive. While only 17% report using GenAI every day, confidence in its benefits is high: 76% believe GenAI improves work quality, and 72% expect AI-driven productivity gains within three years.

In SA, executives are even more bullish, as 91% say AI has already lifted both productivity and work quality — a signal that leadership is pushing harder toward AI-enabled ways of working, notes the survey.

However, this optimism is coupled with rising concern about future readiness. Only 35% of African workers believe their skills will still be relevant three years from now. With GenAI expected to affect nearly half of all job roles, PwC warns that the continent’s workforce risks falling behind unless organisations accelerate large-scale reskilling.

Despite the pressures, employees are not standing still. PwC notes that African workers outperform their global peers in proactive learning, recording 15% higher participation in skills-building and receiving 6% more support from managers. This indicates that both workers and immediate supervisors recognise the pace of AI adoption and are pushing to adapt.

PwC Africa people and organisation leader, Dr Dayalan Govender, says the moment calls for decisive leadership. Organisations, he argues, must integrate AI into workforce strategies, accelerate digital adoption, and expand upskilling programmes at scale.

“Africa’s workforce is optimistic and ready for change, but leaders must accelerate digital adoption and invest in future-ready skills to convert this optimism into sustainable growth,” he says.

Beyond the technology shift, the survey captures a workforce hungry for growth but constrained by financial pressure. Many employees are preparing to make career moves: 45% plan to request a raise, and another 45% aim for a promotion in the next year. Yet household financial stability remains strained, with only a third of respondents reporting any money left over for savings.

Still, Africa’s workplaces continue to show strong foundations of trust and purpose — elements PwC believes will be critical in navigating GenAI disruption. More than 55% of workers trust management, and two-thirds say their work feels meaningful, both above global averages.

With AI adoption rising and employees motivated to reinvent their careers, PwC warns that the coming years will determine whether Africa’s early optimism translates into long-term competitiveness as GenAI transforms the world of work.

The report calls for embedding AI into workforce strategies to bridge the gap between optimism and practical adoption, scaling upskilling initiatives to prepare for GenAI disruption, and fostering trust and psychological safety to retain talent and drive innovation.

“For employers, these findings are a stark reminder that they can and should do more to help workers understand, adopt, and embrace AI’s transformative power.

“Employers may need to pay special attention to entry-level workers, nearly a third of whom say they’re worried to a large or very large extent about AI’s impact on their future, even as they’re also curious (47%) and optimistic (38%) about its long-term societal effects,” notes the report.


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Nigeria Records Highest Weekly Cyberattacks in Africa — Report

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Nigerian organisations are facing the highest volume of weekly cyberattacks in Africa, according to the newly released African Perspectives on Cyber Security Report 2025 by Check Point Software Technologies Ltd., a global leader in cybersecurity solutions.

Nigeria Records Highest Weekly Cyberattacks in Africa — Report

The report revealed that Nigerian firms experience an average of 4,200 attacks per week, significantly higher than the continental average of 3,153 and 60 per cent above the global average of 1,963 attacks per organisation.

The findings highlight a sharp rise in attacks across Africa, driven largely by artificial intelligence-enabled threats.

Kingsley Oseghale, country manager for West Africa at Check Point, said attackers are increasingly using AI to automate phishing, impersonation, and cloud exploitation.

“AI has become part of the attack surface,” Oseghale said. “Attackers are using it to automate phishing and identity theft at scale. The only effective response is prevention-first security that combines visibility, governance, and AI protection.”

The report noted that cybercriminals are exploiting exposed identities and misconfigured systems to target critical sectors, including finance, energy, telecoms, and government.

Identity-led intrusions, AI-generated phishing campaigns, and multi-vector ransomware are on the rise.

Across the continent, Check Point identified key trends in different markets. Nigeria is experiencing business email compromise and cloud exploitation; South Africa faces rising ransomware, smishing, and botnet infections such as Vo1d and XorDDoS; Kenya has seen ransomware targeting critical energy infrastructure; and Morocco has experienced coordinated government and education-sector disruptions via DDoS and website defacement attacks.

The report highlights five major shifts shaping Africa’s cyber risk in 2025.

Traditional ransomware has evolved into data-leak extortion, AI-generated deception is widespread, and identity has emerged as the new security perimeter.

Weak cybersecurity, the report warned, can now affect international market access under regulations such as the EU’s NIS2 Directive, making digital resilience an economic necessity.

The study urged African businesses and governments to adopt prevention-first security strategies, including continuous risk assessment, regulatory readiness, and public-private collaboration.

Oseghale emphasised that, as AI reshapes operations, cybersecurity must shift from reaction to prediction.

“The real challenge is not adopting new technology but securing the trust that underpins it,” he said.


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Jumia’s Data Shows Nigerians Turning to Digital Retail to Navigate Inflation Pressures

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As Black Friday 2025 unfolds across Nigeria, new insights from Jumia’s Q3 2025 financial results reveal that more Nigerians are relying on digital retail to navigate inflation and rising living costs.

The data points to a more deliberate, value-driven shopper, one using online platforms to stretch budgets, compare options quickly, and extract more value from each purchase.

Jumia reported a 30 percent year-on-year increase in physical goods orders, while Gross Merchandise Value for physical goods rose by 43 percent.

This stronger GMV growth highlights a clear behavioural shift: consumers are assembling higher-value baskets by combining essentials with premium or long-term household items. Online retail is serving as a tool for strategic planning, not just convenience.

According to Temidayo Ojo, Chief Executive Officer of Jumia Nigeria, Black Friday now plays a more critical economic role. “Households are using digital retail to defend purchasing power. They plan their lists, compare prices instantly, and rely on the reliability and convenience that e-commerce offers,” he said.

This year’s Black Friday trends show growing demand in categories that directly support daily living. Household essentials and FMCG products are seeing significant uptake as families stock up during price drops. Home and kitchen equipment is also experiencing stronger demand as shoppers prioritise practical, durable tools. Affordable fashion and beauty products are gaining momentum as discounts make them more accessible.

Consumer behaviour in the lead-up to the sales period further reinforces this shift. Jumia recorded a notable increase in “Add to Wishlist” and “Add to Cart” activity, signalling more planning and fewer impulse purchases. The gap between GMV and order growth indicates that customers are optimising baskets using bundles, vouchers, and promo combinations, behaviours uniquely suited to digital platforms.

With inflation intensifying the need for smarter buying, trust markers on Jumia, such as verified sellers, official brand stores, ratings, and clear return policies, are becoming more central to decision-making. Authenticity and durability now outweigh the appeal of the lowest price.

Jumia’s logistics footprint is making these benefits available nationwide. Its 30,000 sqm Isolo fulfilment centre, 480 pickup stations, and 62 logistics partners ensure that customers in secondary and peri-urban cities enjoy the same deals as those in major hubs, reducing travel burdens and adding financial value.

Overall, Jumia’s Q3 data and Black Friday trends show that Nigerians are turning to digital retail as a practical, strategic response to inflation, using e-commerce to manage budgets, preserve purchasing power, and make more informed buying decisions.


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