Visa commits $1 billion to drive digital transformation in Africa within 5 years

By Chisom Nwatu

Global Tech giant, Visa, has announced it is investing $1 billion in Africa over the next five years to advance resilient, innovative, and inclusive economies, digital transformation across the continent.

The investment  was disclosed by Alfred  Kelly, Visa chairman and chief executive office, during  the U.S-Africa Business Forum alongside the US-Africa Leaders Summit in Washington, DC.

Kelly said the investment will  focus on strengthening the payment ecosystem through new innovations and technologies, supporting digitization of economies, and investing in upskilling, talent development and capacity building.

The Investment, he explained, will further scale Visa’s operations in Africa, and deepen collaboration with strategic partners including governments, financial institutions, mobile network operators, fintechs and merchants.

The Visa chairman further noted that the company’s increased investments highlight  its long-term commitment to Africa’s growth potential. He added that it will help enable greater access to digital payments as an entry point for expanding formal financial services for individuals and merchants.

“Every day, Visa supports digital commerce and money movement in every country across the continent, and Africa remains central to Visa’s long-term growth plans. We look forward to continuing to work closely with our partners to advance the financial ecosystem, accelerate digitization and to build resilient, innovative, and inclusive economies that will create shared opportunity and further spur Africa’s digital economy,” he said.

According to industry data, an estimated 500 million people in Africa are without access to formal financial services, less than 50 per cent of the adult population made or received digital payments in Africa, and more than 40 million merchants do not accept digital payments.

As a result of this, Visa said it is  dedicated to empowering small- and women-led entrepreneurship in Africa through its operations and community programmes

Therefore, in line with Visa’s corporate purpose to be the best way to pay and be paid, these investments are expected to facilitate additional opportunities to expand and drive financial inclusion.

Aida Diarra, senior vice president, Visa sub-Saharan Africa, commenting on the development, said Africa is experiencing an unprecedented digital acceleration, with a growing number of consumers, merchants and businesses realising the benefits of secure and convenient digital payments to fuel commerce and money movement.

Diarra said that Visa has over the past year, continued growing its investment in Africa, through new offices, new innovations and solutions, and programmes that are directly supporting financial inclusion.

The investment pledge, he added, outlines the company’s long-term commitment towards advancing Africa’s financial ecosystem.