Jumia taps into Egypt’s e-payment market
Jumia taps into the e-payment Egyptian market: Jumia is looking to expand its e-payment footprint in Egypt with a partnership with the National Bank of Egypt (NBE) that will see it provide new third-party services to merchants outside of its JumiaPay platform, Bloomberg reports. The company, one of the continent’s largest e-commerce players, has received its e-payment license from the Central Bank of Egypt and is looking to extend its service to other online retail platforms, JumiaPay head Sami Louali told the business information service.
In the pipeline: The company said earlier this year that it will act as a payment service provider, offer payment facilitation, and provide a payment aggregator, allowing merchants to process payments off-platform. “These are significant developments for JumiaPay and allow us to deploy our payment services off-platform in Egypt, in partnership with NBE,” the company said in its 2Q earnings release (pdf).
“Opening up the platform, starting in Egypt, will enable additional monetization,” Jumia co-CEO Sacha Poignonnec said. “Ultimately this will boost our revenues.”
The rollout is currently in its pilot stage: “We have just done our first off-platform transaction,” Louali told Bloomberg. “For the next month or two we are in the pilot phase and on-boarding some merchants, after that we will be ready to scale.”
JumiaPay is having a good 2021: The number of JumiaPay transactions rose by a third to 3 mn in 3Q2021, making up almost 36% of the e-commerce platform’s orders, according to the company’s 3Q earnings presentation (pdf). Some USD 64.5 mn was sent over the app during the July-September quarter, pushing its shares of the company’s gross merchandise value to 27.1%, up from 25.4% in the equivalent period last year.