Flutterwave looks to East Africa to fuel banking ambitions
Flutterwave is exploring bank acquisitions across Africa as it expands beyond payments, betting on lending and banking to drive its next phase of growth.
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Flutterwave is exploring the acquisition of a bank in East Africa as it pushes beyond payments into banking, chief executive Olugbenga Agboola told The Africa Report.
The move builds on the fintech’s acquisition of a microfinance banking licence in Nigeria earlier this year through its purchase of open banking startup Mono. Now, Flutterwave is looking to replicate that strategy across the continent.
Kenya, Ghana, Rwanda, Egypt, and Tanzania are among the markets under consideration. Depending on regulatory requirements, Agboola said the company could acquire a bank, partner with one, or apply for a licence.
“The vision is not to form a bank in every country but to ensure that every African business has access to more than financial services.”
Rather than competing for retail deposits, Flutterwave plans to focus on businesses. The company already enables more than a million merchants to receive and process payments, and banking licences would allow it to expand into products such as working capital and other forms of business credit.
Its acquisition of Mono could prove valuable here. Access to richer financial data should improve Flutterwave’s ability to assess businesses and underwrite loans.
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The strategy mirrors a broader shift across African fintech. Earlier this year, Stripe-owned Paystack secured a banking licence and said it would begin offering lending products to businesses before eventually expanding into consumer banking. Moniepoint, FairMoney, and Sycamore have also evolved beyond their original products into broader financial services platforms.
Flutterwave’s latest move is consistent with its long-term ambitions. After spending years hinting at an initial public offering, the company has shifted its focus toward building a profitable, full-stack financial institution before listing.
Agboola has previously said he wants Flutterwave to become Africa’s JPMorgan or, failing that, a company worthy of being acquired by one.
