Last updated on January 15th, 2023 at 03:17 pm
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The changing landscape of business and the workplace, the japa fever has created needs for transborder transactions. Which could be for tuition payment, savings or fund remittance to native country.
Regarding restrictions, most platforms used for international transactions such as WorldRemit, PayPal and Payoneer are either completely unavailable to Africans or limited.
For example, PayPal allows Nigerian users to send but block them from receiving money
Financial powerhouses like Western Union and MoneyGram have always handled this, but they fall short when timing, cost, and convenience are considered.
However, the growing number of financial technology companies has transformed money transfers in Africa by easing digital transactions. The most popular and widely used financial technology is mobile money which is used across almost 40 African countries. The following are some of the top fintechs transforming money transfers in Africa.
Chipper Cash is a fintech company that facilitates free peer-to-peer money transfers and instant cross-border payments in Africa via the Chipper Cash App. It does not impose any money transfer fees or limit of the amount you can send or receive per transaction. Chipper Cash works with various mobile money networks such as MTN, M-PESA, an Airtel Money.
Afriex is a multi-currency transfer app that allows users to send and receive money from anywhere in the world. The Nigerian blockchain-based transfer app was founded in 2019 by Tope Alabi and John Obirije.
With Afriex, you can send and receive money from the U.S., U.K., Nigeria, Ghana, Kenya, Uganda and Canada. Money can be sent from the app through a debit card, bank account or to other Afriex users. Afriex does not charge for transfers, but charges for withdrawals. The maximum amount you can send in a day is $3,000.
Bitsika is a mobile that has multiple functions including creating virtual cards and sending money to different African countries.
With Bitsika, you can send money to Nigeria, Cameroon, Togo, Benin, Burkina Faso, Côte d’Ivoire, and Senegal instantly.
Cost: No Fees for any transactions up to $300.
Lemonade Finance is a digital bank for the African diaspora. The financial technology company provides users with accounts in their country of residence and country of origin for personal and business banking needs.
Users of Lemonade app can send and receive money from over 20 countries (which include Canada, UK, US, Ghana, Nigeria, and Uganda) at zero fees. The YC-backed startup was founded in 2020 by Olalere Ridwan and Rian Cochran.
You can make transfers (also called payouts) individually or in bulk from your Flutterwave available balance. You can transfer to a bank account, a mobile money account, a Barter account, or another Flutterwave account.
You can transfer money to the following countries with Flutterwave:
Nigeria, Ghana, Kenya, Uganda, Tanzania, South Africa, Zambia, Cameroon, Ivory Coast, Sierra Leone, Burkina Faso, Guinea-Bissau, Mali, Senegal, Rwanda, Tunisia, and Guinea Conakry.