Industry leaders seek stronger infrastructure to unlock Africa’s payment future

Nigeria’s fast-growing digital payments industry risks falling short of its full potential unless critical investments are made in infrastructure, trust-building and responsible artificial intelligence deployment, according to industry leaders, regulators and fintech executives.

They made the call at the 2026 Digital Pay Expo in Lagos. While Nigeria has recorded significant gains in digital payment adoption over the past decade, the industry must now move beyond simple digitisation and focus on building a stronger and more resilient financial ecosystem, they affirmed.

Read also: CreditPRO Finance partners LASEPA to promote environmental sustainability

Rekiya Yusuf, director of the payment system supervision department at the Central Bank of Nigeria (CBN), said artificial intelligence is becoming a key driver of transformation within the payment ecosystem.

According to Yusuf, AI is already improving real-time fraud detection, enhancing customer experiences and helping financial institutions reach underserved communities that have traditionally remained outside the formal financial system.

“The goal is to make financial transactions seamless. AI is now driving innovation, helping in real-time fraud detection and helping to expand access,” Yusuf, who was represented by Chika Ugwueze, deputy director asserted.

However, she noted that technological innovation alone would not solve the sector’s challenges.

She identified inadequate infrastructure, connectivity limitations and digital skills gaps as major barriers that must be addressed if Nigeria is to build a sustainable digital economy capable of supporting future innovations.

Industry stakeholders believe these concerns are becoming increasingly important as digital transactions continue to rise across Africa’s largest economy.

For fintech companies, trust remains one of the most valuable currencies in digital finance.

Speaking during the event, Chika Nwosu, managing director of PalmPay Nigeria, argued that financial inclusion should not be measured only by the number of accounts opened or transactions processed. Instead, he said genuine inclusion requires giving businesses and individuals access to practical financial tools that can improve economic outcomes.

Nwosu highlighted the critical role of micro, small and medium enterprises (MSMEs), which contribute about 40 percent of Nigeria’s Gross Domestic Product, but often struggle to access financing and reliable payment infrastructure needed to expand their operations.

“SMEs contribute 40 per cent of the country’s GDP. For us at PalmPay, we don’t just provide payment solutions to them, we also support them with financial tools they need to expand and create jobs,” he said.

His comments reflect a broader shift occurring within Nigeria’s fintech sector, where operators are increasingly positioning themselves not only as payment providers but also as platforms supporting savings, credit access, business growth and financial empowerment.

Nwosu further stressed the need for stronger digital literacy across the population, noting that greater understanding of AI-powered systems and digital financial tools would help increase user confidence and accelerate adoption.

The discussions at Digital Pay Expo 2026 underscored a growing industry consensus that the next stage of growth in African digital payments will depend less on introducing new technologies and more on strengthening the foundations that support them.

Read also: Why bank payment spin-offs could trigger Africa’s next fintech deal wave

Those foundations include reliable infrastructure, robust cybersecurity frameworks, responsible AI governance, regulatory collaboration and greater investment in digital education.

For Nigeria, where fintech adoption continues to attract global attention and investment, the challenge is no longer whether digital payments will grow, but whether the ecosystem can develop quickly enough to support that growth securely and inclusively.

For PalmPay and other industry players, the message from the conference was that innovation alone is not enough. Building trust, expanding access and strengthening infrastructure may ultimately determine who leads Africa’s digital finance future.