Cape Town: The digital payments sector has seen massive growth in Africa, with an emergence of technologies helping people save and invest, says the managing director of micro-investment platform upnup, Tony Mallam.
“Africa’s fintech sector has the potential to produce answers to many problems that South Africans face, whether it be our low savings rate or improving financial inclusion,” Mallam said.
“Micro-savings and investment products, which allow consumers to put away a small amount of money, are perfectly suited to the South African context where savings rates are low, and the cost of living means that not everyone can put away set amounts of money each month.”
He said that as the digital payments sector starts to mature and saturate on the continent, and the need for financial inclusion goes beyond just having a bank account.
Saving for the future, taking out a loan to fund a child’s education or to start a business has become easier with technology, Mallam said.
“Most importantly though, it is about allowing people to access their potential, accumulate wealth and change their circumstances, which are pretty compelling reasons to applaud the work and the wins in the fintech industry.”
IOL Business