III: Unique systems:

Beyond cultural and market dynamics, there are also various unique systems that are very prevalent to Africa. It always surprises me how foreigners don’t realize how ubiquitous these are across the continent. Many of these aspects can also be found in parts of Asia or South America as well in varying flavors.

19. [!] Agent networks 

The roots of agent networks in Africa can be traced back to the early 2000s with the advent of mobile money services. Safaricom's M-Pesa, launched in Kenya in 2007, is often considered a pioneer in this regard. M-Pesa allowed users to deposit, withdraw, and transfer money through a network of agents, typically small shops or kiosks. Agent networks in Africa have evolved over time, playing a crucial role in expanding financial inclusion, especially in regions with limited access to traditional banking services.

Currently gent networks has expanded beyond mobile money to include cash-in/cash-out, bill payments, airtime top-ups, and even more advanced services like savings and loans. Governments and development organizations recognized the potential for financial inclusion and started supporting these initiatives.

Governments in various African countries started recognizing the importance of agent networks and implemented regulatory frameworks to govern their operations. This helped establish standards, ensure consumer protection, and encourage healthy competition. Financial technology (fintech) companies also began playing a more prominent role in driving innovation within agent networks.

Over time, there has been a growing trend of integrating agent networks with formal banking systems in region that are predominantly mobile money heavy . This allows customers to link their mobile wallets to bank accounts, promoting interoperability and enhancing the overall financial ecosystem.

What it changes: To bringing financial services to the unbanked and underbanked populations in Africa, the agent network is one of the well distributed infrastructure we currently have. Understanding that within a country there are more that two players servicing the market is also crucial.

20. [!] Mobile Money 

[coming soon...]

21. [!] Transport is informal 

[coming soon...]

22. [!] Smartphones (but not what you think) 

[coming soon...]

23. [!] Expats / diaspora 

[coming soon...]

24. [!] Remittance is huge. (local and international) 

[coming soon...]

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