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BNPL in Africa: The New Frontier of Financial Inclusion


The Buy Now, Pay Later (BNPL) sector in Africa is revolutionizing consumer spending and financial inclusion. Offering a viable alternative to traditional credit, BNPL platforms are increasingly becoming an integral part of the African e-commerce landscape.

The Current Landscape of BNPL in Africa

The African BNPL market is expected to experience substantial growth. The market value is projected to reach $12.6 billion in 2023 and is forecasted to grow to $28.6 billion by 2028, with an annual growth rate of 17.8%​​. This growth is driven by increasing e-commerce penetration, a burgeoning middle class, and a shift towards digital payment solutions.

Key players in the market include Lipa Later, Shahry, and Sympl, alongside others like Payflex, Pay Just Now, and HappyPay​​​​​​. These platforms cater to various sectors, including retail shopping, home improvement, travel, and automotive, demonstrating the versatile application of BNPL services​​.

Innovations and Challenges

BNPL in Africa

African BNPL companies are innovating by providing credit in sectors like medical services, education, and lifestyle products. This is improving living standards and aiding businesses in expanding their customer base and sales volumes​​.

However, challenges remain. The lack of credit scoring data and the need for real-time credit assessment at the point of sale are significant barriers​​. There’s also a cultural hesitancy towards debt in some parts of Africa, which affects the uptake of BNPL services​​.

Regulatory Landscape and Consumer Protection

Amidst the growth, concerns about consumer protection have arisen. HappyPay, for example, emphasizes stringent credit checks and has adopted a consumer-centric approach, avoiding charges like late fees and deposits to protect consumers​​.

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The Future Outlook

With the expected growth in the BNPL sector, it’s likely that we’ll see more partnerships, like that of Lipa Later and Mastercard, which aim to promote financial inclusion and sustainable economic growth in Africa​​. The integration of BNPL services with major fintech players is poised to redefine the financial landscape of the continent.


The BNPL model in Africa is at a pivotal point. As it evolves, it’s essential to balance growth with consumer protection and financial literacy to ensure that this innovative financial model benefits both businesses and consumers.

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