This is a paid press release. Contact the press release distributor directly with any inquiries.
The African BNPL market is driven by e-commerce growth, strong partnerships, and mobile money integration. Expanding into healthcare, education, and sustainable sectors provides robust opportunities. Regulatory oversight is rising, favoring well-capitalized players. Cross-border expansion remains
African Buy Now Pay Later Market
Dublin, Jan. 29, 2026 (GLOBE NEWSWIRE) — The “Africa Buy Now Pay Later Business and Investment Opportunities Databook – 90+ KPIs on BNPL Market Size, End-Use Sectors, Market Share, Product Analysis, Business Model, Demographics – Q1 2026 Update” report has been added to ResearchAndMarkets.com’s offering.The BNPL payment market in Africa is expected to grow by 25.7% on annual basis to reach US$6.5 billion in 2026. The buy now pay later market in the country has experienced robust growth during 2022-2025, achieving a CAGR of 30.5%. This upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 20.7% from 2026-2031. By the end of 2031, the BNPL sector is projected to expand from its 2025 value of USD 5.2 billion to approximately USD 16.8 billion.
Competitive intensity is expected to consolidate around regulated, well-capitalized players with omnichannel distribution, ecommerce, mobile money and in-store POS. Compliance demands will reduce the number of small BNPL lenders, while telcos, banks and PSPs strengthen their roles through embedded credit. Cross-border expansion in East and North Africa is likely to increase as partnerships scale up.Current State of the Market
BNPL in Africa operates as a fragmented but increasingly regulated credit segment shaped by ecommerce platforms, mobile-money ecosystems and specialized fintech lenders. South Africa, Kenya, Nigeria and Egypt anchor most activity, each with distinct competitive drivers. In South Africa, BNPL is integrated into established ecommerce and physical retail networks, while in Kenya and Nigeria, mobile money and super app environments influence adoption. Regulatory tightening in Kenya (CBK licensing for credit providers), Nigeria (FCCPC digital lending compliance) and Egypt (FRA fintech licensing) has raised the barriers to entry, shifting competition toward underwriting quality, compliance and distribution partnerships.
Regional fintechs such as Payflex (South Africa), Lipa Later and Faraja/EDOMx (Kenya), valU (Egypt), and CredPal (Nigeria) remain central to market development. Ecommerce platforms, including Jumia, increasingly integrate BNPL through partnerships. Mobile-money-led models such as M-PESA Faraja expand access to offline merchants. New entrants remain selective banks and card networks are entering through partnerships rather than full BNPL builds. Mastercard’s multi-market collaboration with Lipa Later and Jumia’s recent partnerships with consumer credit providers illustrate this partnership-led expansion over standalone fintech launches.