The majority of Africans remain unbanked, which has had a serious impact on economic development, but this is rapidly changing. According to Statista, in 2017, 298 million people in Africa had a bank account, which is only about 24% of the population. However, they estimate that by 2022, 456 million (a 53% increase) will have a bank account. This growth is largely due to the (1) rapid increase in mobile phone usage, and (2) about 40% of the population is under the age of 16 years old – and many will start using mobile devices in the next few years.
This growth makes Africa a prime target for mobile-first challenger banks. Below are a few of the most popular challenger banks based in Africa.
Bettr Finance: Based in South Africa, Bettr Finance is a virtual banking experience powered by your smartphone.
TymeBank: Based in South Africa, TymBANK is an exclusively digital retail bank.
Vista Bank: Based in République de Guinée, Africa is a financial services holding company with the objective to build a world-class pan-African financial institution group and contribute to economic and financial inclusion in Africa.
Bank Zero: Based in South Africa, Africa which replaces your checking, savings, debit, and credit cards with a rewards-rich banking experience powered by the Zero mobile app and Zerocard.
Carbon: Based in Nigeria, Carbon is a consumer-facing lending platform by Nigerian parent company, OneFi.
Develop a Challenger Bank or Banking Components with Hydrogen
Hydrogen provides a configurable API platform and no-code solutions with all of the data storage, analytics, business logic, and UI needed to build a cutting edge challenger bank application. Building these types of solutions can be difficult, frustrating, and extremely time-consuming. Through our numerous integrations, we’ve done all the heavy lifting for you.
If you are currently working with a fintech or banking partner in Africa that provides Banking as a Service APIs, please have them contact us and we can work on adding them to our list of integrations.