FinTech: A Natural Fit for Africa

Dave-Van-Niekerk-600x400The following guest column was submitted on behalf of Dave van Niekerk of MyBucks:

We’ve heard the sensationalism before – That the unbridled array of opportunities in Africa are either being “squandered”, “exploited” or just now seeping to the surface for globalization to capitalize on the ‘Rising Continent’ in a timely fashion.

Though rhetoric, it’s no doubt significant, though that doesn’t make the voices behind it authorities on the continent. For we are routinely adapting to advances in enterprise as the youngest continent on the planet (as the African Development Bank has reported Africa has more than 200 million people aged between 15 and 24, which means approximately 65 percent of the population is made up of ‘millennials’), with dynamic evolutions in the provision of technological access and thusly, global inclusion occurring on a regular basis, cross-sectoral and throughout all walks of life.

In truth, Africans are also well-versed in not only the present day challenges to doing business but moreover the abundant prospects for affluence, indeed held back only by long-ingrained bureaucracy and the lack of fundamental access; barriers inevitable to be broken.

For the intrepid entrepreneur and through technological breakthroughs in, for instance, ‘cloud’-centric, aerial-implemented services, there is simply no better place to be in business, particularly the FinTech business, one which is just getting warmed up and with no ceiling in sight.

Wim Van Der Beek, a contributor to CNBC Africa and the Founder of Goodwell Investments, recently and rightly stated that African FinTech is particularly unique, non-partisan and is regarded highly as a viable enterprise on the continent.

For FinTech in Africa is non-disruptive; traditional brick and mortar banking institutions aren’t going anywhere. And where in many cases abroad, there are regulatory constrictions on implementing alternative, cutting-edge offerings in financial services, as;

“…[with] developed countries, the formal banking system is very widespread, with physical bank branches available in every city, town and village, this is not the case in most of Africa. [Africa] has not been financially viable for traditional banks to offer last-mile services”, according to Van Der Beek.

And so with diverse demographics today acclimatizing to utilize traditional and smart-phone-ready software to the betterment of their financial conditions, be it through the provision of insurance, loans or mobile banking services, FinTech hosts the leeway to continue to innovate.

Like all businesses operating effectively in Africa, there is no doubt public-sector opportunism in enforcing such regulations and while I disagree with constrictions detrimental to providing fundamental access in an industry just getting its legs, I do believe that corporate social responsibility (CSR) standards need to be set, if not exceeded by our sector.

So, while our software already leverages the penetration of ‘Big Data’ to better enable direct donations to people in need (family to family, corporate provisions, cutting out unnecessary middlemen), we choose to partner with Opportunity International to both grow our consumer base as a strategic business exercise, but also to increase transparency while ensuring help arrives to those requiring it in a much faster manner than ever before.

Be social-empowerment-driven microfinance provided to a young woman allow her to now have access to a loan to start a business, for example, or to open a mobile bank account to secure savings, we stand proud to both join a global network of more than 40 socially-focused microfinance partners and also to together play a lead role in emboldening that individual and the communities around her to sustainably develop. We know that in investing in the individual, we are creating more jobs and fueling Africa’s both ruralized and urbanized economies.

While social responsibility assuages many concerns as to the FinTech business model, there have also been lingering and justified doubts in the offering of loans, due to specific cases regarding a lack of understanding of one’s creditworthiness on many parts of the continent.

In 2014 alone, FinTech investment increased threefold from $4.05 billion to $12.2 billion. Indeed by pioneering next-generation proprietary software and fortifying an intricate network of like-minded global partners, we are proud to serve at the precipice of this industrial revolution in Africa, forging an offering warranting attention, commentary, and support while differentiating ourselves from the pack.

For, beyond the speculation and sensationalism, as the continent rises, so do the prospects for prosperity within it.

Dave Van Niekerk is an acclaimed investor and Founder / Chief Executive Officer of the MyBucks enterprise.  Established in 2012 with international backing, MyBucks is Africa’s first fintech company, successfully delivering seamless financial services to consumers using technology platforms. Van Niekerk began his micro finance career working at one of the founding companies of the one-time South African financial giant, African Bank. MyBucks currently operates in nine countries, serving over 300 000 clients and granting loans to 700 000 people.


  1. Bridges.!!!

    Our Goverments’ ability in setting Measures and Policy that work is Questionable.. Not too Sure, they may even understand this kind of things…..


    If it was HH yah! Not ba lungu,he cant understand this.

  3. noah

    musalula could president lungu fail to interpret this simple returns is there any paradox? no even an elementary chap could translate without problem

  4. Xhika Xike

    this is simple straight forward information about finnancial efficiency and how iit can be delivered in zambia no politics here people learn to differentiate things

  5. Kapasa

    Rubbish! We need scientists not greedy business men! It was a scientist that invented the technology you are using today to advertise your nonsense. There are several Zambians and Africans that can advise who have superior qualifications and are multilingual.

  6. Awa na Moyo HT

    Some 2 idiots on top there commented nonsense,they themselves cant understand it hence they think their god SUNNY CHINTOMBWS aka HH is the most educated person in zambia.shame, chongo cha chule sichinga yofye ngombe kumwa pachi tsime.

  7. Kapasa

    Economics is a easy subject. You cannot if comprehend the simply programming that allows you to type nonsense onto this website. Ati HH aka Sunny is the most intelligent man in Zambia -NONSENSE

  8. witking

    Comment. HH can’t be intelligent

  9. Me I don't care

    I am ready to who ever is goin to win its Gods decision not ours HH or ECL he is gona be our president weather you lik or not we wil stil be in zambia you won’t leave this country if HH/ECL wins so be patience and we wait the wina u knw team any noe who’s gona win Vsm 4 life.

  10. Justine

    lung has won

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