OPay and Moniepoint issue 17 million Verve cards as Nigerian fintechs switch from Visa and Mastercard
- Nigerian banks are issuing local cards like Verve instead of international card schemes like Visa and Mastercard.
- The COVID-19 pandemic and cash shortages have reduced reliance on card payments and increased the popularity of bank transfers.
- Verve now controls 54% of the Nigerian card market.
The shift from international card schemes to local cards like Verve is a strategic move by Nigerian banks and fintechs to adapt to changing consumer behavior and economic conditions. The COVID-19 pandemic and cash shortages have significantly impacted the demand for card payments, leading to a decline in transaction fees. The devaluation of the Nigerian currency has also made international card schemes more expensive. While this shift may help reduce costs and cater to local payment needs, it may also limit the ability to make global payments and access international markets.
