Report Overview

Nigeria Prepaid Card and Digital Wallet Market – Industry Trends & Forecast Report, 2031

Nigeria Prepaid Card and Digital Wallet Market size was estimated at USD 15.03 billion in 2024. During the forecast period between 2025 and 2031, Nigeria Prepaid Card and Digital Wallet Market size is projected to grow at a CAGR of 23.5% reaching a value of USD 65.84 billion by 2031. Prominent drivers of Nigeria Prepaid Card and Digital Wallet Market include further deepening of smartphone penetration and increasing access to affordable mobile internet services, which are enabling broader usage of digital payment platforms among both urban and rural populations. The growing shift towards a cashless economy, fueled by changing consumer behavior and heightened demand for secure, contactless transactions, is also contributing significantly to market growth. The Nigerian government’s active push for financial inclusion through initiatives such as the eNaira and the launch of the AfriGo domestic card scheme has created a favorable regulatory environment, encouraging both consumers and merchants to adopt digital payment solutions. Furthermore, rapid growth in e-commerce, supported by the expansion of logistics and online retail infrastructure, has amplified the demand for prepaid cards and digital wallets as preferred payment options. The market is also benefiting from increased fintech innovation, with players offering value-added services like instant transfers, bill payments, and micro-loans within wallet apps. As digital financial literacy continues to improve and more partnerships emerge between banks, fintechs, and telecom operators, the Nigeria Prepaid Card and Digital Wallet Market is poised for substantial growth in the coming years.Bottom of Form

Prepaid Card and Digital Wallet – Overview

Prepaid cards are payment cards preloaded with funds, allowing users to make transactions without linking to a bank account. They are widely used for budgeting, gifting, travel, and payroll purposes. Digital wallets, on the other hand, are electronic applications or platforms that store users' payment information securely, enabling seamless transactions via smartphones or other digital devices. Both prepaid cards and digital wallets offer convenience, enhanced security, and are key tools in promoting financial inclusion and supporting the shift toward cashless economies.

Nigeria Prepaid Card and Digital Wallet Market

Growth Drivers

Increasing Fintech Investments

Nigeria Prepaid Card and Digital Wallet Market is witnessing rapid growth, largely driven by increasing investments in the fintech sector. Over the past decade, fintech startups, such as Flutterwave, Paystack, Opay, Kuda, and Moniepoint, have revolutionized financial services by introducing innovative digital solutions that enable seamless transactions through mobile apps, USSD platforms, and digital wallets. In the first half of 2024, Nigerian fintechs secured over USD 140 million in funding—surpassing their peers across Africa—which has accelerated the development of real-time payments, AI-driven financial services, and integrated platforms offering prepaid cards, savings tools, credit scoring, and budgeting features. This growth has been supported by proactive government policies and regulatory initiatives such as the Central Bank of Nigeria’s Payment System Vision (PSV) 2025, open banking regulations, and regulatory sandboxes that enhance interoperability, digital KYC, and secure data sharing. The impact of these advancements is evident in the surge of e-payment transactions, which reached NGN 1.56 quadrillion in the first half of 2024 alone. Fintech platforms are also extending financial access to Nigeria’s unbanked and underbanked populations, particularly in rural regions, by leveraging mobile technologies and agent networks. Additionally, small and medium-sized enterprises (SMEs) are benefiting from digital payment tools like QR codes and social wallet integrations, enabling formal credit access through digital transaction histories. While the sector faces challenges such as cybersecurity risks and rising compliance costs, ongoing investment and innovation continue to strengthen the ecosystem. As Nigeria advances toward a fully digital economy, fintech investments remain a critical force propelling the expansion of the prepaid card and digital wallet market.

Challenges

Limited Infrastructure Access

Limited infrastructure access significantly restrains the growth of Nigeria Prepaid Card and Digital Wallet Market. In many rural and remote areas, inconsistent electricity supply, poor internet connectivity, and a lack of mobile network coverage hinder the adoption of digital financial services. These challenges limit the reach of fintech platforms and restrict financial inclusion for unbanked populations. Without reliable infrastructure, users face difficulties in accessing and using prepaid cards and digital wallets, slowing down the country’s transition to a cashless economy despite increasing mobile phone penetration and regulatory support.

Impact of Escalating Geopolitical Tensions on Nigeria Prepaid Card and Digital Wallet Market

Escalating geopolitical tensions could significantly impact the growth of Nigeria Prepaid Card and Digital Wallet Market. Heightened global conflicts can disrupt international trade, trigger currency volatility, and affect cross-border transactions—challenges that directly influence fintech operations and digital payment systems. Investors may become cautious, slowing the flow of foreign capital into Nigeria’s fintech sector, which is critical for innovation and infrastructure development. Additionally, supply chain disruptions may delay the availability of essential digital infrastructure, such as smart devices and POS terminals. Rising inflation and economic uncertainty could also reduce consumer spending and digital transaction volumes, ultimately hindering the market’s growth and adoption potential.

Nigeria Prepaid Card and Digital Wallet Market

Segmental Coverage

Nigeria Prepaid Card and Digital Wallet Market – By Product Type

Based on product type, Nigeria Prepaid Card and Digital Wallet Market is divided into Open-loop Prepaid Cards, Closed-loop Prepaid Cards, and Digital Wallets segments. The digital wallets segment holds the largest share of Nigeria Prepaid Card and Digital Wallet Market by product type. It is driven by rapid adoption and shifting consumer preferences. As the fastest-growing e-commerce payment method, digital wallets are projected to double their share from 11% in 2023 to 22% by 2027. This growth reflects a broader transformation in Nigeria’s payment ecosystem, where users increasingly prefer mobile-based, contactless solutions over traditional cash or card-based transactions. While account-to-account (A2A) transfers continue to hold a substantial share, digital wallets are experiencing the highest adoption surge, fueled by expanding smartphone usage, improved internet access, and growing confidence in digital financial platforms. The integration of prepaid cards with digital wallets has further strengthened this segment’s appeal, offering users seamless, app-based control over their finances without relying on physical banking infrastructure. Fintech innovation, coupled with the Central Bank of Nigeria’s push for a cashless economy, has made digital wallets more accessible, particularly for unbanked and underbanked populations. As mobile payment infrastructure improves and fintech players continue to offer user-friendly, secure, and interoperable solutions, digital wallets are set to maintain their leading position in Nigeria’s evolving digital payments landscape.

Nigeria Prepaid Card and Digital Wallet Market – By Usage

Nigeria Prepaid Card and Digital Wallet Market by usage is divided into Retail & Consumer Payments, Corporate & Payroll Payments, Government Benefits & Subsidies, and Travel & Remittances segments. The corporate & payroll payments segment holds the largest share of Nigeria Prepaid Card and Digital Wallet Market by usage, driven by growing adoption among businesses seeking efficient and secure financial solutions. Nigerian enterprises are increasingly leveraging prepaid cards for employee salaries, benefits, travel allowances, and corporate gifting, replacing traditional cash-based disbursements. This shift reflects a broader move toward improved financial oversight and operational efficiency. Prepaid solutions offer real-time transaction tracking, customizable spending limits, and streamlined expense management, allowing businesses to reduce administrative burdens and enhance transparency. As companies look for more structured, scalable, and secure ways to manage corporate finances, the demand for prepaid products tailored to business needs continues to rise. In the coming years, this segment is expected to maintain its leading position as financial service providers introduce innovative, industry-specific offerings that address the evolving needs of the corporate sector.

Nigeria Prepaid Card and Digital Wallet Market – By Industry Vertical

On the basis of industry vertical, Nigeria Prepaid Card and Digital Wallet Market is segmented into Banking & Financial Services, Telecommunications, E-commerce & Retail, and Transportation & Travel.

Competitive Landscape

Major players operating in Nigeria Prepaid Card and Digital Wallet Market include PalmPay, OPay, Moniepoint, Flutterwave, Interswitch, Kuda, Paga, Remita (SystemSpecs), and AfriGo Pay. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In March 2025 - PalmPay, a leading Nigerian fintech with over 35 million users, introduced its first debit card in partnership with Verve, marking a strategic move toward local card schemes. The Verve-powered cards, integrated with their wallet and distributed via over one million agents, offer standard and premium options.

• In 2024 - MoMo PSB, the fintech subsidiary of MTN Nigeria, launched outbound and inbound remittance services, enabling users in Nigeria to send money to 13 African countries and receive funds from six others via its app and USSD. The company also introduced a gift card feature for international purchases.

Scope of the Report

By Product Type

• Open-loop Prepaid Cards

• Closed-loop Prepaid Cards

• Digital Wallets

By Usage

• Retail & Consumer Payments

• Corporate & Payroll Payments

• Government Benefits & Subsidies

• Travel & Remittances

By Industry Vertical

• Banking & Financial Services

• Telecommunications

• E-commerce & Retail

• Transportation & Travel

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Nigeria Prepaid Card and Digital Wallet Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Rising Smartphone Penetration
         2. Increasing Fintech Investments
         3. Growing Regulatory Push for Digital Payments
      2. Restraints
         1. Limited Infrastructure Access
         2. KYC & Compliance Challenges
      3. Opportunities
         1. Surging E-commerce Transactions
         2. Growing Demand for Open-loop Prepaid Cards
      4. Challenges
         1. Regulatory Uncertainty & Policy Shifts
         2. Limited Financial Literacy Among Users
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Nigeria Prepaid Card and Digital Wallet Market: Marketing Strategies
5. Nigeria Prepaid Card and Digital Wallet Market: Pricing Analysis
6. Nigeria Prepaid Card and Digital Wallet Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Product Type
         1. Open-loop Prepaid Cards
         2. Closed-loop Prepaid Cards
         3. Digital Wallets
      2. By Usage
         1. Retail & Consumer Payments
         2. Corporate & Payroll Payments
         3. Government Benefits & Subsidies
         4. Travel & Remittances
      3. By Industry Vertical
         1. Banking & Financial Services
         2. Telecommunications
         3. E-commerce & Retail
         4. Transportation & Travel
7. Competitive Landscape
   1. List of Key Players and Their End Users
   2. Nigeria Prepaid Card and Digital Wallet Company Market Share Analysis, 2024
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
8. Impact of Escalating Geopolitical Tensions on Nigeria Prepaid Card and Digital Wallet Market
9. Company Profiles (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. PalmPay
   2. OPay
   3. Moniepoint
   4. Flutterwave
   5. Interswitch
   6. Kuda
   7. Paga
   8. Remita (SystemSpecs)
   9. AfriGo Pay
   10. Other Prominent Players
10. Key Strategic Recommendations
11. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3. Market Breakdown & Data Triangulation
       1. Secondary Research
       2. Primary Research
    4. Breakdown of Primary Research Respondents
    5. Assumption & Limitation

*Financial information of non-listed companies will be provided as per availability

**The segmentation and the companies are subjected to modifications based on in-depth secondary for the final deliverable

List of Figures

Figure 1   Nigeria Prepaid Card and Digital Wallet Market Segmentation

Figure 2   Nigeria Prepaid Card and Digital Wallet Market Value Chain Analysis

Figure 3   Company Market Share Analysis, 2024

Figure 4   Nigeria Prepaid Card and Digital Wallet Market Size, By Value (USD Million), 2019–2031

Figure 5   Nigeria Prepaid Card and Digital Wallet Market Share, By Product Type, By Value (USD Million) 2019–2031

Figure 6   Nigeria Prepaid Card and Digital Wallet Market Share, By Usage, By Value (USD Million) 2019–2031

Figure 7   Nigeria Prepaid Card and Digital Wallet Market Share, By Industry Vertical, By Value (USD Million) 2019–2031

List of Tables

Table 1      Nigeria Prepaid Card and Digital Wallet Market Share, By Product Type, By Value (USD Million) 2019–2031

Table 2      Nigeria Prepaid Card and Digital Wallet Market Share, By Usage, By Value (USD Million) 2019–2031

Table 3      Nigeria Prepaid Card and Digital Wallet Market Share, By Industry Vertical, By Value (USD Million) 2019–2031

Table 4      PalmPay Company Overview

Table 5      PalmPay Financial Overview

Table 6      OPay Company Overview

Table 7      OPay Financial Overview

Table 8      Moniepoint Company Overview

Table 9      Moniepoint Financial Overview

Table 10    Flutterwave Company Overview

Table 11    Flutterwave Financial Overview

Table 12    Interswitch Company Overview

Table 13    Interswitch Financial Overview

Table 14    Kuda Company Overview

Table 15    Kuda Financial Overview

Table 16    Paga Company Overview

Table 17    Paga Financial Overview

Table 18    Remita (SystemSpecs) Company Overview

Table 19    Remita (SystemSpecs) Financial Overview

Table 20    AfriGo Pay Company Overview

Table 21    AfriGo Pay Financial Overview