Paystack, the Nigerian fintech company that was acquired last year by US fintech giant Stripe, has announced that it is establishing a presence in South Africa in a move that is bound to cement its position as a major player in the payments industry on the continent.
Paystack called its decision to launch in South Africa as a “significant milestone in our pan-African expansion road map” and one that will help drive up intra-African trade.
The company’s launch comes after a six-month pilot in South Africa which is the third market where Paystack has launched, after Nigeria and Ghana. Paystack said in a statement on Wednesday that, “Our launch in South Africa, Africa’s second-largest economy, takes us one step closer to our goal of accelerating commerce and removing barriers to trade across Africa,”
Speaking further, the company also stated that it “…will leverage South Africa’s Internet connectivity, one of the highest on the continent, to significantly drive up the adoption of digital transactions.” Noting that “Today, despite the country’s impressive connectivity and high smartphone penetration, digital payments account for less than half of all transactions [in South Africa].”
Paystack’s co-founder and CEO Shola Akinlade, commenting on the development stated say: “South Africa is one of the continent’s most important markets, and our launch here is a significant milestone in our mission to accelerate commerce across Africa.”
On his own part, the head of product expansion at Paystack, Khadijah Abu, in the statement said, “For many businesses in South Africa, we know that accepting payments online can be cumbersome. Our pilot in South Africa was hyper-focused on removing barriers to entry, eliminating tedious paperwork, providing world-class API documentation to developers, and making it a lot simpler for businesses to accept payments online.”
Paystack’s API suite helps developers and technical teams build amazing payment experiences. The company helps hundreds of businesses — tech startups, e-commerce stores, agencies, and creators — get paid online through its payment API solution.