Access Bank, in collaboration with Visa, has launched Tap to Phone, a new contactless payment solution in Nigeria that allows merchants to accept payments using NFC-enabled Android smartphones.
how does tap to phone work?
The new solution transforms an Android smartphone into a payment terminal, enabling merchants to accept Visa card payments by simply tapping the card on their phone—eliminating the need for traditional PoS devices.
This move aligns with the global shift toward contactless transactions, making payments faster and more convenient for both businesses and consumers.
RISING COMPETITION IN AFRICA’S CONTACTLESS PAYMENT SPACE
The launch of Tap to Phone adds to a growing wave of contactless payment solutions across Africa:
– In Kenya (September 2024) – Interswitch partnered with Tuma to introduce a similar contactless system.
– In Nigeria – Moniepoint & PalmPay teamed up with AfriGO to roll out 5 million contactless payment cards.
– In South Africa – Visa & iKhokha launched a mobile payment solution for businesses to track transactions seamlessly.
WHY THIS MATTERS FOR NIGERIA
With the Central Bank of Nigeria (CBN) introducing new contactless payment guidelines and raising transaction limits, digital payments are becoming more accessible.
Access Bank’s latest move could revolutionize Nigeria’s payment landscape by:
✅ Reducing reliance on cash transactions
✅ Enhancing financial inclusion
✅ Eliminating the need for costly PoS hardware
Challenges & Future Outlook
Despite the promise of Tap to Phone, its success depends on smartphone adoption among merchants. As of 2023, Nigeria had an estimated 25–40 million smartphone users, but that number is expected to reach 143 million by 2025 (Statista).
Access Bank has been exploring contactless payments for nearly a decade. If widely adopted, this smartphone-powered payment solution could accelerate Nigeria’s shift toward a fully cashless economy.
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