Visa to invest $1 billion in Africa to accelerate adoption of digital payments

American multinational financial services company Visa pledged during the US-Africa Business Forum (USABF) to invest $1 billion in Africa by 2027 to accelerate the continent’s digital Transformation.

The pledge was announced on December 14 by Alfred F. Kelly, Jr., Chairman, and CEO of Visa, at the USABF in conjunction with the US-Africa Leaders Summit in Washington, DC.

The investment will help Visa expand its operations in Africa and strengthen partnerships with key stakeholders like merchants, governments, financial institutions, mobile network carriers, and fintech companies, said the company’s official press release.

“Visa’s expanded investments demonstrate the company’s long-term commitment to Africa’s growth potential and will help enable greater access to digital payments as an entry point for expanding formal financial services for individuals and merchants,” explained the company.

The investments’ main goals are to assist the continent’s digitalization, boost the payment ecosystem through new ideas and technology, and invest in talent development, capacity building, and upskilling.

“Visa has been investing in Africa for several decades to grow a truly local business, and today our commitment to the continent remains as firm and unwavering as ever,” said the chairman.

More than 40 million businesses in Africa do not accept digital payments, explained the financial giant, and an estimated 500 million people in Africa do not have access to formal financial services.

Less than 50% of the adult population in Africa has made or received digital payments.

“Africa is experiencing an unprecedented digital acceleration, with a growing number of consumers, merchants, and businesses realizing the benefits of secure and convenient digital payments to fuel commerce and money movement,” said Aida Diarra, Senior Vice President, of Visa in Sub-Saharan Africa.

The event where the announcement was made, USABF, was hosted by US president Joe Biden, in Washington DC, under the theme, “Partnering for a Prosperous and Resilient Future.”