Visa Inc. is an American multinational financial services corporation that facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards.
Paga, on the other hand, is a Nigeria-based mobile payment company that is building an ecosystem to enable people to digitally send and receive money, and creating simple financial access for everyone.
The two financial services company had agreed to team up to provide payments and fintech services in Africa and abroad.
“We want to digitize cash, that’s a priority for us. We want us to expand merchant access to payment acceptance and we want to drive financial inclusion, said Otto Williams, Head of Strategic Partnerships, Fintech and Ventures for Africa, Visa.
The strategic partnership shows the efforts of Visa to expand in Africa. In return, Paga has the opportunity to transact with Visa’s global network which will bring a new network to Paga. The partnership does not include investment in the startup.
“Based on the partnership we’re going to launch QR codes and NFC [payments] into the market in Nigeria -alternative ways of receiving payments than bringing out a physical card,” said Tayo Oviosu, Founder and CEO of Paga.
According to Oviosu, both the company’s engineering team have already started working together. Paga has also expanded to Mexico which will launch payment products later this year. Paga is expected to start announcing new positions in Nigeria sometime in the second quarter of 2020.