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Paystack, Truecaller Partner to Boost Online Payments in Africa

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By Modupe Gbadeyanka

A deal has been struck between Paystack and Truecaller to allow more merchants across Africa accept payments online in a frictionless and secure manner by leveraging Truecaller’s mobile identity product, Truecaller SDK.

The partnership will also provide powerful tools that businesses and start-ups across Africa can use to verify the mobile identity of their customers, and in turn, further help in creating more trust in the online payments landscape on the continent.

Also, with the deal, unregistered local businesses can now receive online payments after being verified via Paystack’s in-house verification process, which now includes phone number identity verification powered by Truecaller

In addition, businesses and developers receiving payments via Paystack can now build customer verification tools on top of Paystack’s Truecaller phone number verification API.

Paystack is one of Nigeria’s largest payments startups, processing nearly 20 percent of all online transactions in Africa’s largest economy. The company (the first Nigerian startup to get into the celebrated Y Combinator Accelerator) aims to allow merchants in Africa accept payments from anyone, anywhere in the world.

Previously, all merchants who wanted to accept payments with Paystack had to be registered with various regulatory bodies. In Nigeria, where the vast majority of businesses are unregistered, the requirement to be registered prevented many legitimate offline businesses from realizing the benefits of online payments.

The Paystack-Truecaller partnership means that in addition to Paystack’s proprietary merchant risk assessment checks, merchants can now verify their mobile identity via Truecaller.

Integrating Truecaller’s mobile number identity product as a verification mechanism strengthens the Paystack platform’s merchant verification process and also makes it possible to open up Paystack to the millions of unregistered businesses who were previously unable to accept online payments with Paystack.

In the words of Paystack CEO, Shola Akinlade, “This partnership with Truecaller allows Paystack to deliver on our promise of trust as well as a frictionless experience. We want to be able to guarantee that all businesses paid via Paystack are thoroughly checked for legitimacy and credibility.

“In a low-trust environment like Nigeria where many people are paying online for the first time, it’s important to deliver a safe, fraud-free experience, and this is a responsibility that Paystack takes extremely seriously.”

Shola adds: “We needed to balance the strong desire to open Paystack up to unregistered business against the equally strong obligation to protect the interests of customers. Customers need the firm assurance that every Paystack merchant they pay is a vetted business, and our partnership with Truecaller ensures that we can continue to be worthy of customers’ trust.”

In addition to using Truecaller as part of the merchant verification flow, Paystack will also be introducing Truecaller as a verification option for local developers and startups who want to verify the identity of their own customers on Paystack’s developer platform.

Paystack already makes three verification options available to developers – the ability to verify the Bank Verification Number (BVN) of customers (BVN is an identifying number issued by Nigerian regulators), the ability to verify bank account details, and the ability to verify card details. Truecaller will be a fourth, new verification option, and the impact of this will be to create more trust in the payments flow for African businesses.

A typical use case would be a micro-lending app. In addition to their in-house customer verification steps and use of Paystack’s proprietary verification tools, the Paystack-Truecaller partnership now allows the makers of the lending app to verify the true identity of borrowers by their mobile identity, i.e. with their phone number.

Over 50 million Africans use Truecaller, and the app has helped helped Nigerian users block over 13 million calls and 25 million spam SMS, monthly.

In November 2017, Truecaller announced plans to deepen the collaboration with the business, startup and developer ecosystem in Africa, and the partnership with Paystack represents a strong move towards helping African businesses leverage the power of Truecaller’s mobile identity platform.

Truecaller Head of Global Developer & Startup Relations, Priyam Bose, underscored the importance of this ground-breaking partnership: “Paystack is enabling the growth of a vibrant online payment ecosystem and the digitization of businesses for Nigerian economy. Truecaller is excited to play a strong role in this vision by enabling tools that increase trust and enable frictionless payments across Africa, powered by Paystack.”

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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Nigeria to Launch NIGCOMSAT Satellites in 2028, 2029

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NIGCOMSAT Satellites

By Adedapo Adesanya

Nigeria has set 2028 and 2029 as the timeline for the deployment of its new satellites, NIGCOMSAT-2A and 2B, respectively.

The Managing Director of NIGCOMSAT, which is Nigerian Communications Satellite Limited and the premier satellite operator in Nigeria, Mrs Jane Nkechi Egerton-Idehen, disclosed this at the second Nigerian Satellite Week in Abuja on Monday. She noted that the development is expected to boost military intelligence, surveillance, and regional connectivity.

“For 2A and 2B, we have started the process. We have closed the tender and are now back into the financing and implementation stage. 2A is built to come up in 2028, and 2B for 2029.

“When they are up and running, they are expected to provide security within the borders and neighbouring countries. They will support the security agencies because data collection and intelligence in real time is important. Satellites like communication satellites allow that, irrespective of where they are,” she said.

In his remarks, the Minister of Communications and Digital Economy, Mr Bosun Tijani, said the satellites form part of the nation’s strategy to strengthen digital infrastructure.

Mr Tijani explained that the satellites will complement ongoing investments in 90,000 kilometres of fibre-optic cable and nearly 4,000 telecom towers, which are being rolled out nationwide and extended to neighbouring countries, including Cameroon, Niger, Chad, Burkina Faso, and the Republic of Benin.

He stressed that satellite technology is critical for national development, affecting education, agriculture, business, and emergency response.

“The president’s approval of NIGCOMSAT-2A and 2B demonstrates a clear commitment to building the future. These satellites will enhance security, connect remote communities, and extend our fibre-optic network into neighbouring countries,” he said.

“Some of these neighbouring countries pay up to ten times more for internet capacity than Lagos. Extending our fibre network will not only improve connectivity but also enhance border security and regional collaboration.

“Satellite technology affects everything, from how a child in a rural community accesses the internet to how farmers make critical decisions and how businesses operate across distance,” the Minister said.

Also speaking, the Chief of Army Staff (COAS), Lieutenant General Waidi Shaibu, welcomed the development, saying the military will leverage the satellites for operational efficiency.

“The Nigerian Army will continue to use space assets to improve intelligence gathering, surveillance, and operational coordination across all theatres of operation,” he said at the event, represented by Major General Kennedy Osemwegie, Commander of the Nigerian Army Cyber Warfare Command (NACWC).

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Interswitch, KCB Group to Deliver Innovative Financial Solutions in East Africa

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Interswitch KCB group

By Modupe Gbadeyanka

A partnership to advance digital payments and financial inclusion across East Africa has been strengthened between Interswitch and KCB Group.

Both parties have agreed to expand digital payment infrastructure and deliver innovative financial solutions that meet the evolving needs of individuals, businesses, and institutions across the region.

The aim is to accelerate seamless, secure, and inclusive digital payments in East Africa, where the leading Africa-focused integrated payments and digital commerce enabler, Interswitch, recently announced an expansion of Verve card acceptance footprint, leveraging its consolidated partnership with KCB Group, Kenya’s largest financial services group by assets, following a similar move in Uganda through the local KCB Franchise in February 2022.

During a recent executive engagement at KCB Group headquarters in Nairobi, the chief executive of Interswitch, Mr Mitchell Elegbe, held high-level discussions with KCB leadership, including its chief executive, Paul Russo.

At the core of the strengthened collaboration is the integration of Interswitch’s robust payment rails, card scheme, and emerging digital token solutions with KCB Group’s expansive regional footprint and trusted banking franchise.

This integration enables the acceptance of Verve cards and tokenised payment solutions across KCB’s extensive merchant point-of-sale network in Kenya and Uganda, significantly enhancing everyday usability for customers while strengthening KCB’s digitally driven retail payments offering.

The consolidated partnership is expected to drive increased merchant acquisition, improve interoperability across payment ecosystems, and expand access to secure, cashless transactions. It also reinforces both organisations’ shared objective of deepening financial inclusion and accelerating digital commerce across East Africa.

“Our collaboration with KCB Group represents a powerful alignment of vision and capability. By combining our technology-driven payment solutions with KCB’s strong regional presence, we are unlocking new opportunities to scale access, drive innovation, and deliver greater value to customers across East Africa,” Mr Elegbe stated.

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Telcos to Compensate Customers for Service Disruptions—NCC

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NCC

By Adedapo Adesanya

The Nigerian Communications Commission (NCC) has directed Mobile Network Operators (MNOs) to provide compensation to subscribers whose network quality of service experience is below specified targets within specific locations.

In a Sunday statement, the commission noted that its position is that customers should not be made to bear the full burden of service disruptions where operators fail to meet prescribed standards of service delivery.

Under this directive, NCC said erring operators would compensate affected users directly for breaches of Quality of Service (QoS) Key Performance Indicators (KPIs).

Mobile Network Operators (MNOs) will be required to pay these compensations for instances of poor quality of service recorded within specified time frames.

“The compensation will be provided in the form of airtime credits, calculated based on subscribers’ average spending patterns and their presence within Local Government Areas where service failures occur”, according to the statement.

The directive is rooted in the agency’s broader regulatory philosophy that places the consumer at the centre of Nigeria’s telecommunications ecosystem.

“Telecommunications services today underpin economic activity, social interaction, and access to digital opportunities. When service quality is poor, the consequences affect productivity, commercial activities, and even public confidence in our communications system.

“While regulatory fines have traditionally served as a deterrent against poor service delivery, the Commission is adopting a more consumer-focused approach that strengthens accountability within the industry”.

The commission explained that it has designed this measure to complement existing and ongoing efforts to strengthen service quality monitoring and enforce performance standards.

Further to this directive by the commission to MNOs on compensation to consumers, the regulator has mandated Tower Companies that own the critical infrastructure, such as masts, for Quality of Service delivery, to invest in infrastructure with measurable outcomes using sums that it has fined these companies, in addition to other financial fines the Commission will deem appropriate.

“The commission will continue to reinforce the obligation of operators to invest consistently in network resilience, capacity expansion, and infrastructure upgrades to meet the growing demand for telecommunications services.

“At the same time, it will deploy regulatory tools that promote fairness, transparency, and accountability across the sector, ensuring that every subscriber receives the quality of service they deserve while sustaining a telecommunications industry capable of powering Nigeria’s digital future”, the statement added.

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