PalmPay Is Changing How Africa Banks and Now It’s Chasing $100 Million for Global Expansion

PalmPay is not just another fintech—it’s a financial revolution. The six-year-old Nigerian startup is reportedly in talks to raise between $50 million and $100 million in a fresh Series B funding round to supercharge its bold expansion across Africa and Asia.

The talks come on the back of massive momentum. Launched in 2019, PalmPay has built a digital banking platform that resonates with Africa’s informal economy. With over 35 million registered users and an astounding 15 million daily transactions, the platform now processes tens of billions of dollars annually, sources familiar with the company say.

According to the Financial Times, PalmPay earned $64 million in revenue in 2023, and insiders confirm that number has more than doubled since. Even more impressively, the company is now profitable, an increasingly rare achievement in the high-burn fintech sector.

While PalmPay declined to comment directly on its Series B valuation, the company is said to be nearing unicorn territory. A spokesperson shared, “We’re in a strong financial position and actively exploring growth opportunities.” And that growth is well underway.

From Lagos to Dhaka, PalmPay is going global. It has already expanded to Tanzania and Bangladesh, marking its first footprint outside of Africa. The strategy? Lead with device financing and consumer credit, then layer in additional financial services like bill payments, savings, and insurance.

Its user growth isn’t accidental. One of PalmPay’s smartest moves was its strategic partnership with Chinese smartphone giant Transsion, whose brands Tecno and Infinix dominate Africa with over 40% market share. By pre-installing the PalmPay app on millions of smartphones, the fintech ensures that users meet it the moment they power on their new device.

But it’s not just digital. PalmPay has built a sprawling on-the-ground network of over 1 million small businesses and agent merchants offering cash-in/cash-out services, mobile money transactions, and POS support. Today, more than 10 million customers use these agents monthly, a hybrid model now being mirrored by competitors like OPay, Paga, and Moniepoint.

What truly sets PalmPay apart is its ability to bring first-time users into the formal financial system. The company claims that 25% of its users opened their first-ever financial account through the platform, and among credit borrowers, that number rises to 60%.

PalmPay is also betting big on business tools, offering a cross-border payment API for merchants operating across Africa. This feature, now live in Nigeria, Kenya, and Tanzania—with South Africa on the horizon—already processes hundreds of millions of dollars monthly.

With backers like Transsion, GIC (Singapore’s sovereign wealth fund), and Mediatek, the fintech is also seeking new partnerships with OEMs to accelerate device integration and distribution in new territories.

As the race for financial inclusion heats up in emerging markets, PalmPay’s blend of profitability, innovation, and strategic distribution is putting it miles ahead of the pack. And with up to $100 million in new funding potentially on the way, this fintech rocketship is just getting started.