- Share
- Tweet
Digital payment infrastructure is transforming Nigeria’s food service industry by improving transaction efficiency, expanding access to financial services and helping businesses operate more effectively, according to a new report by fintech company Moniepoint
The report, titled What It Takes to Feed Nigeria Every Day: The Payment Story Behind Its Food Service Industry, examines how digital payments, business management tools and data-driven financial services have reshaped the country’s food service sector over the past four decades
According to the study, the adoption of real-time digital payment systems has helped move the industry away from a predominantly cash-based model into a more connected commercial ecosystem, contributing to the sector’s estimated value of $11.09 billion in 2025
Moniepoint said digital infrastructure has addressed longstanding challenges such as delayed settlements, unreliable payment confirmations, theft and limited access to credit by enabling instant transaction verification and creating reliable financial records for businesses
While bank transfers previously reduced dependence on cash, the report noted that manual payment verification often caused delays during peak business periods, including festive seasons such as Christmas, New Year and Eid celebrations
Real-time digital payments now allow restaurants, quick-service operators and other food businesses to process transactions faster while generating verifiable records that support financial planning and access to formal banking services
The report highlighted that many small and medium-sized food businesses have traditionally struggled to obtain financing because lenders relied heavily on physical collateral rather than business performance
By using digital transaction histories to assess revenue patterns and cash flow, financial institutions are increasingly able to evaluate the creditworthiness of businesses without depending solely on asset-based collateral.
Moniepoint also noted that women own 86.8 per cent of businesses in Nigeria’s accommodation and food services sector, making it one of the country’s most female-dominated industries
The report suggests that greater use of digital financial records could improve access to finance for women-owned businesses, which have historically faced significant barriers to securing credit
Beyond payments, the study found that digital business management platforms such as Moniebook and Orda are helping food businesses integrate payment processing, inventory management, procurement and operational reporting into a single system
According to the report, these tools enable businesses to monitor stock levels, manage production costs, reduce operational losses and make better business decisions
Moniepoint disclosed that food and beverage businesses are now the second-largest merchant category on its platform after retail
The company also recorded a 2,823 per cent increase in terminal usage among quick-service restaurants as cashless payment adoption continues to rise
The report found that payment activity in the sector typically peaks between 1 p.m. and 2 p.m. during lunchtime, while online food delivery businesses experience sustained transaction volumes into the evening
Despite the industry’s highly fragmented nature, Moniepoint said digital infrastructure is making food businesses more visible, measurable and better connected to Nigeria’s formal financial system, creating opportunities for long-term growth and expansion
Up Next
Edo Begins Debit Card Distribution for National Cash Transfer Beneficiaries
Don’t Miss
Dangote’s East Africa Refinery Attracts $100m Investment Interest
Business4 years agoBREAKING: CBN announces New Withdrawal Policies, Pegs ATM Withdrawals Limit at N20,000 daily, N100,000 weekly
Business6 years agoFirst Bank Nigeria Joins SME Finance Forum
Business6 years agoFG Opens Application Portal for N75 Billion MSME Survival Fund 10pm Today, Releases Time-table for Payroll Support Scheme for different sectors
Business3 years agoCall for Applications: MTN ICT and Business Skills Training (N90 Million Grant for 300 Participants)
- Business4 years ago
Call for Applications: Rural Youth Skill Acquisition Programme for Nigerian Youths (receive N50,000 monthly stipend)
Business6 years agoHow to apply and benefit from free CAC Business Name Registration for 250,000 MSMEs
Articles & Resources6 years agoHow to put your house in order for tax purposes
Business4 years agoCall for Applications: Tony Elumelu Foundation Entrepreneurship Programme 2023 for African Entrepreneurs (get $5,000 seed funding)