Dr. Reda Helal, the Group Managing Director of Processing, Africa and Co-Head of Group Processing at Network International has disclosed that the domestic payments and settlements sector is far from being over-saturated despite the rapid evolution and competition in the market.
Dr. Reda Helal speaking in an interaction with the media divulged that in many regions, including Ghana, there is still a significant opportunity for growth in terms of financial inclusion, as many individuals and businesses remain unbanked or underbanked.
Financial inclusion is when individuals and businesses have access to useful and affordable financial products and services that meet their needs in terms of transactions, payments, savings, credit and insurance delivered in a responsible and sustainable way.
“In many regions, including Ghana, there is still significant room for growth in terms of financial inclusion, as many individuals and businesses are still unbanked or underbanked. The growth of e-commerce and digital payments is driving the need for new and more secure payment systems, which provides ample room for new players in the market.”
Dr. Reda Helal
According to Dr. Helal, while Fintech, especially those in the payments space have historically attracted the most funding, relatively about US$1.8 billion across the continent in 2022, he said the comparatively low levels of financial inclusion leave room for competition-driven innovation.
Throwing more light on this, Dr. Helal explained that healthy competition in the payments and settlements sector will drive innovation and lower costs, providing better services and increasing financial inclusion.
The managing director therefore encouraged new entrants to focus on identifying unmet needs and opportunities for innovation, rather than being discouraged by the level of competition in the market.
“While it is important to be aware of the level of competition in the payments and settlements market, this should not discourage new entrants. Instead, players in the sector should focus on identifying unmet needs and opportunities for innovation in order to differentiate themselves and succeed in this dynamic and growing market.”
Dr. Reda Helal
Dr. Helal also emphasized on the importance of effective payment systems in shaping a financially inclusive society, saying that Network International is continuously working to adopt new technologies while ensuring that merchants’ feedback is incorporated into their products.
“Effective payment systems play a crucial role in shaping a financially inclusive society, as they enable individuals and businesses to participate in the formal financial sector, regardless of their income level.
“The payments sector has seen a considerable increase in the adoption of ever-changing technologies, and we are always working to adopt these new technologies while ensuring we incorporate merchants’ feedback in our products to ensure the user interface and experience suit the merchants and their customers.”
Dr. Reda Helal
African Continental Free Trade Area (AfCFTA)
With the African Continental Free Trade Area (AfCFTA) still in its developing stage and requiring improved structures to realize its goal of raising income across Africa by 7 percent (US$450 billion), by 2035, Dr. Helal announced that his outfit intends to assist the Central Bank with the Pan-African Payment and Settlement System (PAPSS).
“We are honored to be recognized by the Central Bank of Ghana as a market leader in the card and mobile money space. We intend to assist the Central Bank with the PAPSS system for Africa, which is high on the agenda for the AfCFTA agreement.”
Dr. Reda Helal
