CREATE VALUE OR GO HOME: A Q&A with African Fintech Pioneer Dr. Valentine Obi, Founder of eTranzact With new Payment Service Provider (PSP) and Payment System Operator (PSO) licenses from the Bank of Uganda, eTranzact Platform Limited Uganda—a branch of eTranzact Global—has made a notable entrance into Uganda’s fintech landscape. As one of Africa’s largest non-bank payment providers, eTranzact processes over 201 million transactions annually, valued at $40 billion, and has operations in Nigeria, Ghana, South Africa, Sierra Leone, Cameroon, the United Kingdom, and now Uganda. In this interview with CEO East Africa Magazine, Dr. Valentine Obi, Founder and Group CEO, explores the transformative vision driving eTranzact’s mission to reshape African cross-border payments, enhance security, and reduce transaction costs.

Dr.Obi, could you share a bit about your background and what inspired you to venture into digital payments?

I’ve been at the helm of fintech for over two decades, pioneering digital payments in Africa before “fintech” was even a term. When we started eTranzact in 2003, cash dominated transactions across Africa, posing risks, high costs, and inefficiencies, especially for larger transactions. Our mission was to introduce a safer, digital alternative. Back then, the idea of a cashless society seemed distant, and we were often met with scepticism.

Before eTranzact, I led Sybase’s West African division, where we developed business software for financial institutions. This experience gave us the foundation to innovate, knowing we could design solutions that matched Africa’s needs. eTranzact was born from that drive to solve problems on the ground with technology that was practical, adaptable, and scalable.

Could you highlight some key milestones in eTranzact’s journey?

One of our earliest milestones was executing a real-time mobile transfer between banks using SMS technology in 2003. Achieving this with limited tech infrastructure was a breakthrough, and it demonstrated the viability of digital payments in a traditionally cash-based economy. Another memorable project was in 2004, working with the Lagos State Water Corporation. We developed a real-time billing solution to eliminate delays and errors in payments. This project not only improved efficiency but also built trust and brought other banks into the eTranzact ecosystem.

In 2008, we took another significant step by launching the first mobile banking app on the App Store, integrating services from multiple banks into a single platform. At that time, the concept of a universal banking app was virtually unheard of, but it underscored our commitment to making banking accessible and unified for African users.

What makes eTranzact different from other players in the fintech space?

Our edge lies in understanding Africa’s unique financial landscape and delivering solutions tailored to these pain points. In many African countries, payment solutions must be instant to match the immediacy of cash. So, whether it’s a cross-border payment, merchant settlement, or interbank transfer, we prioritize speed and transparency.

We’re not just focused on end-users; we also aim to empower the next generation of fintech entrepreneurs. By offering a robust platform, we enable young innovators to plug in their solutions without the heavy costs and technical hurdles. Uganda is positioned to benefit from our 20 years of experience in real-time transactions, and we expect it will become one of our most dynamic markets.

Why did you choose to launch in Uganda, and why now?

Uganda’s Central Bank is taking proactive steps to streamline and regulate the fintech sector, and we see this as a positive move. Regulation is critical for building consumer confidence and encouraging a shift away from cash, which is not only costly for individuals but also for governments, who bear the high costs of printing currency.

As a proven player, eTranzact can bring real value to the Ugandan market. We’re not simply joining the competition; we’re bringing products and solutions that have succeeded in other markets, including a platform for tracking taxes, which we’ve already offered to the Uganda Revenue Authority at no charge. Our track record in supporting government digitalisation efforts in Nigeria—such as enabling civil servants to receive instant salary payments—demonstrates the tangible impact we can bring to Uganda’s financial ecosystem.

What challenges do you see for cross-border payments in Africa, and what needs to change?

Cross-border payments are indeed a challenge, partly due to the regulatory differences across countries. Innovators will always be a step ahead, but it’s our responsibility to work with regulators to make these advances safe and secure. We’re in constant dialogue with the Central Bank to ensure our solutions remain compliant and build trust.

If I had the ear of African leaders, I’d stress the importance of initiatives like the Pan-African Payments Settlement System (PAPPS), which could accelerate cross-border transactions across Africa, reducing reliance on foreign currency. It’s time we stopped relying on the dollar for transactions within Africa. With the right framework, we can create a seamless payment experience across the continent, similar to domestic transactions in individual countries.

What advice would you give to emerging fintechs in Africa?

Focus on the value you bring to the market. In fintech, as in any business, solving real problems is essential. When we started eTranzact, our aim wasn’t just to copy existing solutions but to address specific challenges in the cash economy. Young innovators should look to create real impact. If you can offer a solution that improves convenience, lowers costs, or enhances security, you’ll find a market that values what you bring.

How do you see African fintechs positioning themselves in the global arena?

Africa actually leads in certain aspects of fintech innovation. eTranzact, for example, was one of the first to enable real-time interbank payments. We developed mobile banking applications before they became mainstream in other parts of the world. African fintechs are often forced to innovate faster and more effectively because of the unique challenges we face.

Unfortunately, we don’t always tell our stories as effectively as we could. African companies are doing remarkable things, but unless we share these successes, the world won’t recognize the continent’s contributions to the global fintech landscape.

Any closing thoughts?

As Africans, we need to believe in our potential to solve our own challenges. The solutions we’re looking for are here, not overseas. Outsiders may offer valuable support, but as locals, we understand the problems firsthand and can build solutions that truly fit. I also urge African governments to create an environment that retains our tech talent. We’re seeing too many skilled professionals leave for better opportunities abroad. By improving living and working conditions here, we can keep this talent home, where it can drive even greater innovation.