In a country with a large underbanked community and millions of businesses still reliant on cash-only transactions, the launch of a groundbreaking association promises to contribute to an inclusive financial sector for all and progress the digitisation of payments in South Africa.
The Association of South African Payment Providers, known as ASAPP, was officially launched today by eight of the largest non-bank digital payment providers in South Africa. ASAPP’s primary objectives are to promote fair access to payment infrastructure, reduce the wholesale cost of digital payments, and enhance transparency and customer mobility within South Africa’s payment ecosystem for both individuals and businesses. ASAPP aims to create more opportunities for financial inclusion by advocating for increased support for and participation of non-bank payment providers in the payment ecosystem.
“We see cash as being the most dominant form of payment for many consumers, micro merchants and small businesses in townships, villages and city centres across the country. This is not sustainable. We need to digitise our economy. We need to open up our payment system, make it more modern and inclusive, so that more merchants, small businesses and consumers can participate in a modern payment environment,” says ASAPP President Lincoln Mali, Chief Executive Officer of Lesaka Technologies, who is also an experienced executive with over 25 years in the financial services.
The ASAPP founding members – Altron, Hello Group, iKhokha, Lesaka, Network International/Payfast by Network, Peach Payments, Shop2Shop, and Yoco – bring a wealth of experience and a shared commitment to contribute to enhancing South Africa’s digital payments landscape. Together, they represent a significant portion of the country’s non-bank payment ecosystem.
Working in collaboration with regulators and industry stakeholders, ASAPP will contribute to addressing challenges and explore innovative opportunities to unlock a more inclusive digital payments future for South Africa.
