How to accept payments online from Africa
A report from Statista shows that the revenue generated by online payments in Africa in 2022 was over $37 billion. As e-commerce multiplies in Africa, more merchants are looking for ways to accept payments online in local currencies.
However, limited payment options and currency conversion issues can make it challenging for merchants to expand their business to the continent.
Overview of e-commerce in Africa
The online retail industry in Africa has been growing fast in recent years. Several factors, such as increasing internet penetration and the rise of smartphones and mobile devices, have contributed to this mass growth.
With the second-largest population in the world, the continent has become a lucrative market for the e-commerce industry, whose users may reach 519 million in 2025. Africa is gradually shaping up to become the next seedbed for online businesses.
Despite the growth of e-commerce in Africa, accepting payments online is still very challenging for global merchants due to limitations like currency conversion issues, limited payment options and security concerns.
Let’s explore how international merchants can overcome these challenges.
Integrate local payment methods
As a global merchant expanding to Africa, it’s essential to understand the payment terrain and the various payment options available on the continent. Mobile money, card payments, M-PESA, and bank transfers are some popular payment methods Africans use. These services allow African customers to pay in their local currencies using mobile devices.
Use payment gateways that support local currencies
As a merchant, choosing a payment processor that allows you to capture transactions in local African currencies is essential. With Klasha Pay, our African customers can shop and pay in local African currencies while you receive payouts in multiple currencies: USD, GBP, CNY, INR, EUR, etc.
It’s intuitive and allows for integrations into platforms like WooCommerce, Magento, Squarespace, your website, and many others.
Use payment links
Payment links make it convenient for global merchants to accept payments from African customers.
As an international merchant expanding business to Africa, you can easily accept payments online in local African currencies without a website or e-commerce storefront with the Klasha Payment Links.
African customers can pay you in Naira, Kenya Shillings, and South African Rand through Klasha while you receive your money in USD, GBP, or your preferred currency. With payment links, your customers will have the same checkout experience.
If you are a merchant looking to expand your global reach, Klasha Pay can help you connect with more African customers. For insights on which African countries to consider for expansion, click here to learn more about the African markets.
Questions about accepting payments online in Africa with Klasha’s solutions? Send us a message.