Brazilian fintech unicorn Ebanx is expanding to Africa’s most dynamic markets

Brazilian fintech company Ebanx has expanded to Africa. In doing so, Curitiba-based Ebanx hopes to replicate its rapid growth in Latin America by placing a greater emphasis on digital payments.

Ebanx began operations in Kenya, South Africa, and Nigeria at the end of August, as demand for mobile payments has surged in recent years.

Read also: Half of Africa’s wealth is concentrated in just five countries, the ‘Big 5’

“These countries represent more than 50% of the continent’s GDP, a third of Africa’s population, and are experiencing an explosion in the adoption of digital services,” Paula Bellizia, a global payments expert at Ebanx, told Reuters.

According to the report, the company will initially focus on mobile money, a system that allows users to exchange and store money on their cell phones.

Ebanx has been offering digital wallets – payment applications on cell phones – to Brazilian consumers on a trial basis since 2020.

According to a report published in June by Endeavor and McKinsey, the continent’s digital economy has an estimated market volume of US$115 billion.

In Latin America, digital commerce has accelerated digital payments.

In Africa, digital payments will drive digital commerce. There is a trend toward e-commerce in Africa, just as there was in Latin America eight years ago,” Bellizia said.

The Brazilian startup, valued at more than US$1 billion, is also seeking agreements with major e-commerce merchants to offer payment services on the continent.

In Latin America, the company processes payments for companies such as Airbnb, Shopee, and Uber.

More: Brazil news in English, every day from The Rio Times.