Doris Dokua Sasu
Research Expert Ghana and Nigeria
Payment methods in Niger - statistics & facts
Following sanctions due to the 2023 coup d’etat in Niger, banks in the country were overly filled, ATMs were quickly emptied, and fund withdrawals were restricted, leaving the cash-dependent population in overall despair. For a country heavily dependent on physical cash usage compared to other means of payment, commercial and financial transactions freeze in the absence of circulating currency. In fact, the use of credit cards and debit cards for payments in the country is very rare, with only between one and 2.2 percent of the population owning either a credit card, a debit card, or both.
There is room for investments in Niger in the areas of digital payments and financial inclusion. This, indeed, would need to correspond with many other factors such as the country's business environment and political situation.
Slowly adopting mobile payments
A small fraction of the Nigerien population uses mobile and internet payment channels in addition to the predominant use of banknotes and coins for daily transactions. In January 2024, 5.4 percent of the country’s adult population owned a mobile money account, the majority of whom were men. Although this was a decline compared to the four preceding years, owning a mobile money account in Niger has been relatively stable. The mobile payment service providers in the country are Airtel Money, Orange Money, and Moov Flooz.What does the future of bank payments look like?
The bank account ownership rate in Niger has mainly declined over the last few years. It is therefore not surprising that bank payments are uncommon in the country. Generally, real-time bank payments are not frequent in Africa, compared to other instant payment systems on the continent. The situation is no different in West Africa, which has two instant bank payment systems. Owning an account with a financial institution is necessary to run transactions through banks. Thus, in the face of decreasing volumes of bank account openings in Niger, the future of bank payments is uncertain in the country.Digital payments in Niger, the takeaway
Digital payments refer to the digital or online transfer of funds by use of instruments such as a mobile phone, a prepaid, debit, or credit card, or a computer. As of 2024, the e-payment behavior in Niger was such that a gradually increasing proportion of the population shopped or paid bills digitally. Additionally, people used this payment method to transfer money to other parties. In total, slightly more than eight percent of adults in the country made or received a digital payment in 2023. Overall, in Africa, most digital transactions are performed weekly.There is room for investments in Niger in the areas of digital payments and financial inclusion. This, indeed, would need to correspond with many other factors such as the country's business environment and political situation.
