Harmonisation of the existing payments system infrastructure across ECOWAS
West Africa Monetary Agency
Africa is home to an estimated 573 fintech start-ups, 200 of which raised $350 million in the first quarter of 2020. Fintechs have played a critical role in extending digital financial inclusion across the continent through and beyond COVID-19 and in enabling Africa’s transition into a digital future under the African Continental Free Trade Area (AfCFTA). Despite the potential of the fintech sector to contribute to digital financial inclusion, the African sector significantly lags behind those in other regions like Latin America and South-East Asia.
A survey of 100 fintechs across 17 African countries by Cenfri and AFN, under their African Fintech Radar initiative, found that African fintechs experience an array of challenges that impact access to markets, raising funding, navigating regulation, and developing products that align with the needs of financially underserved market segments, thereby undermining their contribution to creating a more inclusive digital finance ecosystem.
There are many initiatives focused on providing technical assistance and acceleration support to fintechs. For example, in 2019 alone, there were nearly 650 innovation hubs supporting Africa’s innovators. However, investors still focus on established fintech markets and most venture capital investments in Africa are typically smaller than in other markets, often targeting the seed stage compared to growth stage. Fintechs also struggle with knowledge gaps of how to engage regulators and lobby for policy and regulatory framework changes that impact their work.
 Côte d’Ivoire, Egypt, Ghana, Kenya, Mauritius, Morocco, Mozambique, Niger, Nigeria, Rwanda, Sudan, South Africa, Seychelles, Tanzania, Tunisia, Uganda and Zambia.
To establish the Africa Fintech Hub (The Hub), a gender-friendly digital platform that will enable fintech associations across Africa to pool resources, knowledge and strengthen relationships and partnerships.
To create the Africa Fintech Hub, AFN will:
The Africa Fintech Hub will be Gender Centric and have the following overall outcomes:
This project addresses many of the Sustainable Development Goals (SDGs) and the African Development Bank’s High 5 priorities to contribute to greater economic growth, reduce poverty, support youth economic empowerment and gender inequality. The plan is to execute due diligence for fintechs via the hub, provide a one-stop shop for investors, partners and fintechs and gradually open multiple opportunities for fintechs in Africa.
West Africa Monetary Agency
Government of Chad
Africa Fintech Network
Y’ello Digital Financial Services (YDFS), Nigeria
West Africa Monetary Agency (WAMA)
Pula Advisors Limited, Kenya
Sinitic Africa and Bankable Frontiers Associates Global (BFA)
EthSwitch Share Company
Africa Cybersecurity Resource Centre