Online payment wallets are set to contribute 22% of Africa's electronic payment revenue by 2025
Eastern Africa led in mobile money transactions in Africa
In 2022, Eastern Africa demonstrated the highest volume of mobile money transactions among African regions, while Northern Africa exhibited the lowest, highlighting a notable contrast in digital payment adoption across the continent. Specifically, Egypt had less than 10% of adults engaging in digital payments, whereas Kenya saw nearly 80% participation.
The mobile money sector in Africa has significantly enhanced consumer accessibility and usability compared to traditional banking. Nevertheless, obstacles like limited awareness and perceived usefulness remain the foremost hindrances to mobile money account ownership in the region.
Digital payments in South Africa are expected to grow significantly
As online payment methods become increasingly popular among consumers, digital payments and alternative payment solutions are gaining traction. In South Africa, the value of digital payments is forecasted to nearly double between 2022 and 2027, with a double-digit CAGR.
Similarly, in Egypt, the number of real-time payment transactions is expected to undergo a triple-digit CAGR during the same period, indicating significant expansion. However, digital payment adoption varies across African countries, with cash remaining the dominant online payment method in Morocco. Additionally, in Kenya, the percentage of mobile money users making merchant payments in physical stores is over four times higher than those making online payments.
Key Questions Answered
- What percentage of Africa's electronic payment revenue is projected to come from online payment wallets by 2025?
- How much electronic payment revenue in Africa is expected to be generated through online channels by 2025?
- What is the anticipated CAGR for digital payments in South Africa from 2022 to 2027?
- What is the forecasted CAGR for real-time payment transactions in Egypt from 2022 to 2027?
Country Coverage: South Africa, Egypt, Nigeria, Morocco, Kenya.
Table of Contents
1. Management Summary
2. Global Developments
• Overview of the Online and Mobile Payment Trends, September 2023
• B2C E-Commerce Payment Value, in USD trillion, 2023e & 2027f
• Preferred Online Payment Methods For E-Commerce Purchases, in % of Adults, June 2022
• Preferred Payment Method When Shopping Online, in % of Respondents, October 2022
• Value of Contactless Card Transactions, in USD trillion, 2022e & 2027f
• Virtual Card Transaction Value, in USD trillion, 2022e & 2027f
• BNPL B2C E-Commerce Sales, in USD billion, 2022e & 2027f
• Number of BNPL Users, in millions, 2022e & 2027f
• Value of Digital Wallet Transactions, in USD trillion, 2023e & 2028f
• Total Number of OEM Pay E-Commerce Transactions, in USD billion, Growth in Transactions, in %, & Average Transaction Volume Per OEM Pay User, in USD, 2026f
• Share of OEM Pay E-Commerce Transactions Stemming From Purchases of Digital Goods, in %, 2026f
• Top Reasons Because of Which Respondents Are Likely to Abandon Checkout, in % of Adults, June 2022
• Most Accessible vs Most Preferred Online Payment Method, in % of Adults, June 2022
• Share of Consumers Agreeing With the Following Statements Related to Security of Online Payment, in %, April 2023
• Share of Consumers Agreeing With the Following Statements Related to Digital and Mobile Wallets, in %, April 2023
• Top Consumer Expectations at Checkout When Making Online Purchases, incl. “Payment Methods”, in % of Respondents, October 2022
• QR Code Payment Transaction Value, in USD billion, 2023e & 2028f
• Cryptocurrency Payment Value, in USD billion, 2020-2025f
• Mobile Money Statistics, incl. Number of Live Services, Registered Accounts, in millions, Active Accounts, in millions, Transaction Volume in millions, and Transaction Value, in USD billion, and Year-on-Year Growth, in %, by Region, 2022
3. Africa
3.1. Regional
• Online & Mobile Payment Trends, October 2023
• Mobile Money Statistics in Africa, incl. Number of Live Services, Registered Accounts, in millions, Active Accounts, in millions, Transaction Volume in millions, and Transaction Value, in USD billion, and Year-on-Year Growth, in %, by Sub-Region, 2022
• Electronic Payment Revenue Breakdown, by Payment Method, in %, 2025f
• Revenue From Electronic Payments, in USD billion, 2025f
• Total Funding Raised by African Tech Startups, in USD billion, 2021 & 2022
• Startups Funding, by Sector, in USD million, 2022
3.2. South Africa
• Digital Payments Value, in USD billion, 2022 & 2027f
• Breakdown of Online Payment Methods, in %, 2022
• Share of Adults That Made a Digital Payment, in %, 2022
• Share of Adults That Have a Mobile Money Account, in %, 2022
• Share of Adults That Used a BNPL Service, in %, Q3 2022
3.3. Egypt
• Share of Adults That Made a Digital Payment, in %, 2022
• Number of Digital Wallets, in millions, Q2 2022* & Q3 2022
• Number of Online Transactions Carried Out Using Digital Wallets, in millions, Q2 2022* & Q3 2022
• Number of Real-Time Payment Transactions, in millions, 2022 & 2027f
• Value of Fawry’s Revenue, in EGP million, 2021 & 2022
• BNPL Use, in % of Respondents, July 2022
3.4. Nigeria
• Share of Adults That Made a Digital Payment, in %, 2022
• Number of Real-Time Payment Transactions, in billions, 2022 & 2027f
• Share of Mobile Money Account Owners, in % of Adults, 2022
• Mobile Money Users Who Made a Merchant Payment Online, by Gender, in %, 2022
• Electronic Payment Transactions, incl. Number, in millions, and Value, in NGN billion, by Type, 2022
3.5. Morocco
• Share of Adults That Made a Digital Payment, in %, 2022
• Breakdown of Online Payments Methods, in %, 2022
• Number of Online Transactions Made with Bank Cards, in millions, and Value, in MAD billion, by Domestic Credit Cards and Domestic and Foreign Cards (Total), January 2019 - September 2022
3.6. Kenya
• Share of Adults That Made a Digital Payment, in %, 2022
• Mobile Money Users Who Made a Merchant Payment in a Physical Shop vs Online, in %, 2022
• Mobile Money Users Who Made a Merchant Payment Online, by Gender, in %, 2022
• Mobile Payment Statistics, incl. Number of Transactions, in Millions, Value of Transactions, in KES Billion, Number of Accounts, in Millions, and Number of Agents, in Thousands, 2012-2022
