Quickpay SA, which previously provided financial services through mobile platforms in partnership with banks, will now directly serve its customers, similar to its competitors. The fintech aims to expand its operations into new markets within the West African Economic and Monetary Union (WAEMU) beyond Senegal.

Fintech firm Quickpay announced on Monday, March 24, that it has secured an electronic money institution (EME) license from the Central Bank of West African States (BCEAO). A subsidiary of EDK Group, Quickpay will now be able to provide mobile financial services within the West African Economic and Monetary Union (WAEMU) directly, without relying on banking partners as it did previously.

"This license strengthens our position as a key player in financial inclusion and allows us to better meet the needs of our users by offering them tailored financial services. It thus contributes to the financial inclusion of unbanked populations, significantly supporting the economic development of the African continent, and more specifically of Senegal," the company said in a press release.

With this new authorization, Quickpay joins a limited group of entities licensed to independently issue and manage electronic money, alongside prominent players like Wave and Orange Finance Mobile, which currently dominate the Senegalese market. Quickpay's entry as a licensed EME into this expanding market could intensify competition and spur innovation. While Wave has gained traction through competitive pricing and user-friendly features, and Orange Money with its extensive network, Quickpay will need to differentiate itself by offering innovative, cost-effective services customized to local requirements.

According to a BCEAO report, the number of electronic money accounts within WAEMU increased significantly, from 94 million in 2020 to 131 million in 2021, representing a substantial 39% rise. During the same period, Senegal experienced a 63% surge in subscriptions, underscoring the growing demand for digital financial services.

Despite Senegal's rapid adoption of fintech solutions, a significant portion of the population remains unbanked, and disparities persist, particularly along gender lines. According to the GSMA report "State of the Industry Report on Mobile Money 2024," nearly 30% of women in Senegal still do not have a mobile money account, while adoption among men is nearly universal. This digital divide presents a major challenge that industry participants, including Quickpay, will need to address to ensure truly equitable financial inclusion.

By Samira Njoya,

Editing by Sèna D. B. de Sodji