Visa Inc., the global leader in payments, announced that it is bringing its mobile payments solution mVisa to Nigeria. The company said that it was in advanced discussions with leading Nigerian banks, and expects to roll the solution out with banking partners to Nigerian consumers before the end of 2016.
mVisa is an innovative mobile payments solution that allows consumers to pay for goods by scanning a QR code on a smart phone or entering a merchant number into their feature phones. Payment goes straight from the consumer’s Visa account into the merchant’s account and provides real-time notification to both parties.
mVisa is completely interoperable, meaning that the consumer and the merchant do not need to be customers of the same bank. It can also be used to enable consumers who use different mobile phones and services to interact. This brings a versatile and secure mobile money solution, powered by Visa, to consumers everywhere.
“We’re excited by the prospects of mVisa for Nigeria as a mobile payment solution which brings real benefits to drive digital transformation,” said Ade Ashaye, group country manager for Visa West Africa. “Because mVisa allows merchants to accept Visa payments without having to invest in costly point of sale hardware, it gives Nigerian consumers a reliable, secure and convenient mobile payment option.”
Robert Giles, Head of Retail Banking for Diamond Bank, said: “As a bank committed to bringing unrivalled customer experiences, we’re incredibly excited about mVisa and its potential for our customers in Nigeria. The service enables people to engage in secure, digital commerce, and access funds more easily in their bank accounts to make everyday purchases. mVisa increases the opportunity to include more Nigerians into the formal financial system, which will help the economy, and society grow.”
Financial Inclusion Benefits
mVisa will be available for both smartphone users and consumers using basic feature phones, with the potential to provide a mobile payment service to nearly all 150 million1 active mobiles phones in Nigeria. Consumers can also use mVisa agents for domestic remittances as well as to access their cash if there is no ATM network. These features accelerate financial inclusion, a core objective of both the Nigerian government and Visa. This is also in line with Visa’s 2015 commitment to the World Bank to bring the benefits of Visa and electronic payments to 500 million more people globally by the end of 2020.
Merchant, Software Developer Support
Merchants also benefit from mVisa. Recent data2 suggests that the informal economy, which refers to economic activity that is often cash-based and goes unreported, represents up to 60 percent of Nigeria’s economy. Visa’s research indicates that most consumers, even those who are more affluent, do much of their daily shopping at informal traders and open markets. mVisa allows informal traders to accept electronic payments in a cost-effective way, without the need for point of sale terminals. Merchants are able to receive payments directly into their bank account within minutes of a consumer making a payment. Unlike other mobile payment solutions, mVisa supports the well-established process to handle refunds and chargebacks for consumers.
mVisa is available with software developer kits (SDKs) and access to Visa APIs, allowing banks and programmers to build additional solutions to help address local payment needs. Click here for further information.