Nigeria Cards and Payments – Opportunities and Risks to 2025

Pages: 53 Published: April 26, 2022 Report Code: GDFS0587CI

The annual value of card transactions in the Nigeria cards and payments market was $18.2 billion in 2021. The market is expected to grow at a CAGR of more than 18% during the forecast period.

The Nigeria cards and payments market research report provides detailed analysis of market trends in the Nigerian cards and payments industry. It provides values and volumes for a number of key performance indicators in the industry, including cash, cards, credit transfers, direct debits, and cheques during the review-period.

 Nigeria cards and payments market outlook

Nigeria cards and payments market outlook

For more insights on this report, download a free sample

What are the market dynamics in the Nigeria cards and payments market?

Cash remains the preferred method of consumer payment in Nigeria. This is mainly due to the country’s high unbanked population, limited public awareness of electronic payments, and limited access to banking infrastructure. Financial inclusion is a top priority for the Central Bank of Nigeria (CBN). The central bank is undertaking various initiatives, such as including financial education in school curriculums and organizing promotional campaigns to increase awareness of banking products. These initiatives have supported the payment card market, which has seen significant growth in terms of payment volume and value, indicating that preferences have started to shift.

Debit cards are the most popular card type for payments, but measures are being taken to increase the use of credit cards. Improving payment acceptance infrastructure, the adoption of contactless payments, and a growing ecommerce market will further boost the uptake of electronic payments. COVID-19 has also played a key role. Although the pandemic impacted consumer spending (which in turn affected the payments industry), there has been a rise in the use of electronic methods of payment at the expense of cash.

Which are the key payment instruments in the Nigeria cards and payments market?

The key payment instruments in the Nigeria cards and payments market are cash, cards, credit transfers, direct debit and cheques. Cash is the largest segment in the cards and payments market in Nigeria.

Nigeria cards and payments market, by payment instruments

Nigeria cards and payments market, by payment instruments

For more payment instrument insights, download a free sample

What are the key segments in the Nigeria cards and payments market?

The key segments in the Nigeria cards and payments market include card-based payments, e-commerce payments, and alternative payments.

Card-based payment market in Nigeria

Banks are attempting to provide basic financial access to the unbanked population by expanding agent banking networks and infrastructure. Such initiatives have supported the payment card market, which has seen significant growth in terms of payments volume and value, indicating that preferences have started to shift. Debit cards are the most popular card type for payments, but measures are being taken to increase the use of credit cards. The emergence of contactless payments and strong ecommerce growth are expected to further boost payment card usage.

E-commerce payments market in Nigeria

Nigeria’s ecommerce market is dominated by bank transfers, which accounted for over half of ecommerce transaction value in 2021e. High consumer confidence in bank transfers due to their perceived security is driving usage. Cash or cheque is the second most popular ecommerce payment method. This is due to the country’s large unbanked population, who do not have access to payment methods such as bank transfers or cards.

Which are the key companies in the Nigeria cards and payments market?

Some of the key companies in the Nigeria cards and payments market are Access Bank, UBA, FirstBank, Ecobank, Zenith Bank, GTBank, Central Bank of Nigeria, Keystone Bank, Skye Bank, Stanbic IBTC, Unity Bank, Sterling Bank, and Verve

Market report scope

Market size $18.2 billion
CAGR% >18%
Forecast period 2021-2025
Key segments Card-Based Payments, E-Commerce Payments, and Alternative Payments
Key payment instruments Cash, Cards, Credit Transfers, Direct Debit and Cheques
Key companies Access Bank, UBA, FirstBank, Ecobank, Zenith Bank, GTBank, Central Bank of Nigeria, Keystone Bank, Skye Bank, Stanbic IBTC, Unity Bank, Sterling Bank, and Verve

Scope

The report provides top-level market analysis, information and insights into the Nigerian cards and payments industry, including –

  • Current and forecast values for each market in Nigeria’s cards and payments industry, including debit and credit cards.
  • Detailed insights into payment instruments including cards, credit transfers, cash, direct debits, and cheques. It also, includes an overview of the country’s key alternative payment instruments.
  • Ecommerce market analysis.
  • Analysis of various market drivers and regulations governing the Nigerian cards and payments industry.
  • Detailed analysis of strategies adopted by banks and other institutions to market debit and credit cards.

Reasons to Buy

  • Make strategic business decisions, using top-level historic and forecast market data, related to the Nigerian cards and payments industry and each market within it.
  • Understand the key market trends and growth opportunities in the Nigerian cards and payments industry.
  • Assess the competitive dynamics in the Nigerian cards and payments industry.
  • Gain insights into marketing strategies used for various card types in Nigeria.
  • Gain insights into key regulations governing the Nigerian cards and payments industry.

Key Players

Access Bank

Unted Bank of Africa

FirstBank

Ecobank

Zenith Bank

GTBank

Central Bank of Nigeria

Keystone Bank

Skye Bank

Stanbic IBTC

Unity Bank

Sterling Bank

Verve

Mastercard

Visa

PayPal

KongaPay

Paga

Firstmonie

Nairabox

MoMo

PocketMonie

Table of Contents

Table of Contents

Market Overview

Payment Instruments

Card-Based Payments

Ecommerce Payments

Alternative Payments

Payment Innovations

Payment Infrastructure and Regulation

Appendix

Frequently Asked Questions

Request a Free Sample
$2750

Can be used by individual purchaser only

$8250

Can be shared globally by unlimited users within the purchasing corporation e.g. all employees of a single company

Get in touch to find out about multi-purchase discounts

reportstore@globaldata.com
Tel +44 20 7947 2745

GDPR + CCPA Compliant

Personal and transaction information are kept safe from unauthorised use.

Recently Viewed Reports

Looking to stay on top of industry & market trends?

Sign up to receive regular alerts for our latest analysis and reports. No matter your industry focus, you can keep your finger on the pulse with our timely updates.

Financial Services
New
Enterprise Tech Ecosystem Series
$2995 | May 16, 2022
Financial Services
New
Hong Kong – Retail Banking Consumer Profiles
$5250 | May 5, 2022
Financial Services
New
Electric Vehicles (EV) in Insurance – Thematic Research
$1950 | May 4, 2022