Nigeria’s digital payments sector, along with those of other African nations, is expected to reach $1.5 trillion by the end of the decade, driven by increasing internet penetration and rising financial inclusion.

This projection was highlighted in a Mastercard-commissioned report by Genesis Analytics, shared with THE ESSENTIAL NEWS on Tuesday.

According to the report, Africa’s digital transformation is being fueled by rapid growth in internet access and financial inclusion—two key drivers of digital payments across the continent. Internet penetration in Africa is forecasted to grow at a compound annual rate of 20%, while financial inclusion is expected to expand by 6% per year.

The report further suggests that these trends indicate a significant shift towards digital transactions, as both businesses and consumers increasingly adopt contactless solutions, boosting economic participation and financial accessibility across the region.

To reinforce this projection, Mastercard stated that it remains committed to supporting Africa’s digital growth through strategic investments, public-private partnerships, and innovative initiatives aimed at enhancing financial health and driving economic development. Mastercard stated that its investments will prioritize three key areas to accelerate digital adoption and financial inclusion: supporting Africa’s micro, small, and medium enterprises; strengthening the continent’s fintech sector; and expanding remittances and cross-border payments.

"Africa is a land of immense potential, with its people poised to shape the global economy in the coming decades. Mastercard remains deeply committed to driving digital transformation across the continent by collaborating with entrepreneurs, merchants, banks, start-ups, telecom companies, and governments. Through increased investment, expanded innovation, and greater financial inclusion, we aim to build a more connected and accessible digital future," said Dimitrios Dosis, President of Eastern Europe, the Middle East, and Africa at Mastercard, in a statement. "For more than five decades, Mastercard has collaborated with African governments, businesses, and communities to drive financial inclusion and economic growth. With Africa expected to be home to nine of the world’s 20 fastest-growing economies, we are committed to leveraging our expertise and technology to support the continent’s ongoing digital transformation. The investments we make today will contribute to building a more resilient economy for the future," said Mark Elliot, Division President for Africa at Mastercard.

Mastercard further stated that it is working with banks, telecom companies, and other service providers across Africa and beyond to accelerate fintech growth and expand into new markets.