Africa Prepaid Card and Digital Wallet Market Intelligence and Future Growth Dynamics Databook - Q1 2026 Update

Rapid expansion of “wallet-linked virtual prepaid cards” for e-commerce and international online spend

• Across multiple African markets, mobile money operators are attaching virtual prepaid card credentials to wallets so customers can pay online where card rails are required. Examples include Airtel Africa and Mastercard rolling out the Airtel Money GlobalPay Card across Airtel’s footprint (multi-country), and MTN MoMo Uganda launching the Virtual Card by MoMo with Mastercard and local banking/processing partners.
• E-commerce and app-based services increase the share of transactions that require card credentials, while mobile money remains the primary “account” for many users. Operators are using prepaid card credentials to bridge that acceptance gap without forcing customers into traditional bank onboarding.
• This is expected to intensify, as wallet-to-card models are among the fastest paths to enabling cross-border online payments and subscription-type spending. Expect tighter product controls (KYC tiering, velocity limits, stronger authentication) as volumes and fraud exposure increase.

Strengthening domestic card ecosystems is increasing the relevance of prepaid issuance and acceptance

• Domestic schemes and regional processors are expanding their footprints, making it more practical to issue prepaid at scale. A major example is Verve (Interswitch) announcing a milestone of 100 million cards issued, signalling ongoing expansion of card usage where domestic routing and local acceptance economics matter.
• Governments and regulators are prioritizing resilient domestic payment capacity, while merchants increasingly demand reliable acceptance and predictable costs. This encourages banks, fintechs, and wallets to use prepaid as a controlled entry product for card-based spend, especially for consumers who are debit/credit-constrained.
• Competition between international networks and domestic schemes will likely increase, with prepaid used as a volume driver (consumer spending, controlled disbursements, travel-linked spend). The ecosystem should become more “platform-led,” with issuers choosing partners based on processing capability and compliance performance rather than just distribution reach.

• Regulators are issuing operational directives that directly affect card performance and program design. Examples include Nigeria’s central bank directing banks/acquirers to ensure ATMs/POS/virtual terminals are configured for international cards routed through Nigerian acquirers, and Ghana’s central bank publishing guidelines for domestic processing of Ghana-issued payment cards along with reinforced Ghana Card onboarding requirements.
• Higher digital transaction volumes increase fraud and consumer protection pressures, pushing regulators toward enforceable requirements for authentication, routing/acceptance configuration, and identity verification. This changes how prepaid products are onboarded, limited, monitored, and supported.
• Programs with strong KYC operations, monitoring, and dispute handling will scale faster; weaker programs will face limited capacity or slower approvals. Expect more collaboration with regulated banks and certified processors, and more emphasis on availability/uptime and transaction success rates as competitive metrics.

Competitive Landscape of the African Prepaid Card Market

• Competitive intensity is expected to increase as prepaid becomes a key tool for converting mobile money balances into online and cross-border spend. Wallet providers and banks will compete to deliver the highest transaction success rates, robust authentication, and predictable customer support, especially for virtual prepaid use in e-commerce. Consolidation among processors and acquiring platforms is likely to continue, with larger regional fintech platforms gaining leverage through scale. This can accelerate multi-country rollouts, but it also increases dependence on a smaller number of infrastructure partners for issuance and acceptance.

Current State of the Prepaid Card Market

• Africa’s prepaid market is currently characterized by two parallel growth lanes: (1) wallet ecosystems adding virtual prepaid card credentials to enable online and cross-border spend, and (2) banks/processors expanding domestic scheme issuance and acceptance capacity. Recent launches by Airtel Africa and MTN MoMo Uganda illustrate how prepaid rails are being used to extend mobile money into card-accepted environments.
• At the infrastructure layer, major networks are investing to strengthen processing and reliability in-region, supporting higher digital payment throughput. For example, Visa’s first Africa data centre in Johannesburg signals a stronger push toward local infrastructure resilience, which is relevant for prepaid authorization performance and scale.

Key Players and New Entrants

• Large mobile money operators are central to prepaid growth because they control distribution and wallet balances. Airtel Africa’s GlobalPay rollout and MTN MoMo’s virtual card launches show how telcos are using prepaid credentials as an extension of wallet utility rather than as standalone plastic issuance.
• On the card ecosystem side, domestic schemes and processors are strengthening their influence. Interswitch’s Verve milestone indicates continued expansion of domestic card issuance, which affects how prepaid products can be routed and accepted across markets.

Recent Partnerships, Mergers, and Acquisitions

• Partnership activity is heavily concentrated around network, wallet, sponsor bank, and processor structures that enable virtual prepaid issuance. MTN MoMo Uganda’s launch explicitly references collaboration involving Mastercard and partners, such as a bank and a regional fintech/processor, reflecting the typical multi-party operating model needed to scale.
• On consolidation, Network International and Magnati completed/announced steps toward merging into a larger MEA fintech platform, which matters for prepaid because processing scale and acquiring footprint influence program economics and merchant acceptance reach.

Regulatory Changes Implemented in the Last 12 Months

• In Nigeria, the central bank issued a December 2025 circular directing banks and other institutions to ensure that ATMs/POS/virtual terminals are configured to accept international cards issued by Nigerian acquirers and to meet card scheme standards, an operational change that affects acceptance and transaction routing.
• In Ghana, the central bank published domestic processing guidelines for Ghana-issued payment cards and reinforced requirements around Ghana Card biometric verification and remote onboarding controls (including liveness checks). These changes raise the compliance bar for prepaid onboarding and program operations.

Overview of Prepaid Cards and Digital Wallet Market

Prepaid Card Market Analysis

• Metrics Assessed: The study examines the prepaid card market through various lenses, including transaction value, transaction volume, average transaction value, load value, and the total number of cards in circulation.
• Card Types: A distinction is made between open-loop and closed-loop prepaid cards, providing insights into their respective market shares and growth trajectories.
• Usage Categories: The report segments the prepaid card market into various categories such as general-purpose cards, business and administrative expense cards, travel forex cards, and meal cards.
• Business Segmentation: Further segmentation is provided based on business size and type, including small-scale businesses, mid-tier businesses, enterprise-level businesses, government entities, and retail consumers.
• Sector-Specific Applications: The analysis extends to specific sectors utilizing prepaid cards, including transit and toll payments, healthcare and wellness services, social security and other government benefit programs, fuel purchases, utilities, and more.

Digital Wallet Market Insights

• Key Segments: The digital wallet market is dissected across five primary spending categories: retail shopping, travel, entertainment and gaming, dining establishments, and recharge and bill payments.
• Performance Metrics: For each segment, the report evaluates transaction value, transaction volume, and average transaction value, offering a granular view of consumer spending behaviors.
• Retail Spend Breakdown: An in-depth analysis is provided for retail spending via digital wallets, covering categories such as food and grocery, health and beauty products, apparel and footwear, books, music and video, consumer electronics, pharmacy and wellness, gas stations, restaurants and bars, toys, kids and baby products, services, and other miscellaneous categories.

Virtual Prepaid Card Market Segmentation

• Categories Analyzed: The virtual prepaid card market is segmented into key categories, including general-purpose cards, gift cards, entertainment and gaming cards, teen and campus cards, business and administrative expense cards, payroll cards, meal cards, travel forex cards, transit and toll cards, social security and other government benefit program cards, fuel cards, utilities, and other miscellaneous categories.
• Performance Evaluation: For each category, the report assesses transaction value, providing insights into the adoption and usage patterns of virtual prepaid cards across different consumer segments.

Consumer Usage Trends

The report delves into consumer behavior concerning prepaid cards, segmented by:

• Age Groups: Identifying usage patterns across different age demographics.
• Income Levels: Analyzing how income brackets influence prepaid card adoption and usage.
• Gender: Examining differences in usage trends between genders.

Report Scope

Prepaid Payment Instrument Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Prepaid Card vs. Digital Wallet

Digital Wallet Market Size and Forecast

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Segments

Digital Wallet Market Size and Forecast by Key Segments

• Retail Shopping (Value, Volume, Avg. Value)
• Travel (Value, Volume, Avg. Value)
• Restaurant (Value, Volume, Avg. Value)
• Entertainment and Gaming (Value, Volume, Avg. Value)
• Recharge and Bill Payment (Value, Volume, Avg. Value)

Digital Wallet Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

Prepaid Card Industry Market Attractiveness

• Load Value Trend Analysis
• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards
• Market Share Analysis by Functional Attributes - Open Loop vs. Closed Loop
• Market Share Analysis by Prepaid Card Categories

Open Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Closed Loop Prepaid Card Future Growth Dynamics

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Number of Cards

Prepaid Card Consumer Usage Trends

• By Age Group
• By Income Group
• By Gender

Prepaid Card Retail Spend Dynamics

• Food and Grocery - Transaction Value
• Health and Beauty Products - Transaction Value
• Apparel and Foot Wear - Transaction Value
• Books, Music and Video - Transaction Value
• Consumer Electronics - Transaction Value
• Pharmacy and Wellness - Transaction Value
• Gas Stations - Transaction Value
• Restaurants & Bars - Transaction Value
• Toys, Kids, and Baby Products - Transaction Value
• Services - Transaction Value
• Others - Transaction Value

General Purpose Prepaid Card Market Size and Forecast

Gift Card Market Size and Forecast

Gift Card Market Size and Forecast by Functional Attribute

• By Open Loop Gift Card
• By Closed Loop Gift Card

Gift Card Market Size and Forecast by Consumer Segments

• By Retail Consumer Segment
• By Corporate Consumer Segment

Gift Card Market Share Analysis by Retail Categories

• Gift Card Market Share Analysis by Gifting Occasion
• Gift Card Market Share Analysis by Purchase Location

Entertainment and Gaming Prepaid Card Market Size and Forecast

Teen and Campus Prepaid Card Market Size and Forecast

Teen and Campus Prepaid Card Market Size and Forecast by Functional Attribute

• By Open Loop Teen and Campus Prepaid Card
• By Closed Loop Teen and Campus Prepaid Card

Business and Administrative Expense Prepaid Card Market Size and Forecast

Business and Administrative Expense Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Payroll Prepaid Card Market Size and Forecast

Payroll Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Meal Prepaid Card Market Size and Forecast

Meal Prepaid Card Market Size and Forecast by Consumer Segments

• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Travel Forex Prepaid Card Market Size and Forecast

Travel Forex Prepaid Card Market Size and Forecast by Consumer Segments

• By Retail
• By Small Scale Business Segment
• By Mid-Tier Business Segment
• By Enterprise Business Segment
• By Government Segment

Transit and Tolls Prepaid Card Market Size and Forecast

Social Security and Other Government Benefit Programs Prepaid Card Market Size and Forecast

Fuel Prepaid Cards Market Size and Forecast

Utilities, and Other Prepaid Cards Market Size and Forecast

Virtual Prepaid Card Industry Market Attractiveness

• Transaction Value Trend Analysis
• Transaction Volume Trend Analysis
• Average Value per Transaction
• Market Share Analysis by Key Virtual Prepaid Card Categories

Virtual Prepaid Card Market Size by Key Categories

• General Purpose Prepaid Card - Transaction Value
• Gift Card - Transaction Value
• Entertainment and Gaming Prepaid Card - Transaction Value
• Teen and Campus Prepaid Card - Transaction Value
• Business and Administrative Expense Prepaid Card - Transaction Value
• Payroll Prepaid Card - Transaction Value
• Meal Prepaid Card - Transaction Value
• Travel Forex Prepaid Card - Transaction Value
• Transit and Tolls Prepaid Card - Transaction Value
• Social Security and Other Government Benefit Programs Prepaid Card - Transaction Value
• Fuel Prepaid Cards - Transaction Value
• Utilities, and Other Prepaid Cards - Transaction Value

Reasons to Buy

• In-depth understanding of Africa’s prepaid card and digital wallet market dynamics: Gain a structured view of market opportunity, operating models, and competitive dynamics across 80+ segments and sub-segments, spanning prepaid cards (open-loop and closed-loop), digital wallets, wallet-linked prepaid credentials, and virtual prepaid cards. Analysis focuses on how stored value is issued, funded, used, and regulated in Africa’s payments ecosystem.
• Understand Africa’s market opportunities and key trends with forward-looking forecasts (2021-2030): Assess historical performance and future outlook for prepaid cards and digital wallets using core KPIs such as transaction value, transaction volume, active users, and average transaction value, with clear separation between consumer and commercial use cases and wallet-based versus card-based spend.
• Develop Africa specific prepaid and digital wallet strategies: Identify high-growth segments and structurally resilient use cases to support market-entry, expansion, or optimisation strategies. Evaluate Africa-specific drivers, constraints, and risks, including regulation, macroeconomic conditions, and adoption patterns, to inform realistic, market-aligned strategic decisions.
• Detailed analysis of Africa’s market share by key players across prepaid and wallet categories: Understand competitive positioning through issuer and platform-level market share analysis across major prepaid card types, digital wallets, and virtual prepaid instruments. Coverage highlights how banks, fintechs, and wallet providers compete across funding sources, acceptance reach, and use case depth.
• Insights into Africa’s consumer attitudes and payment behaviour: Analyse how consumers use prepaid cards, virtual prepaid cards, and digital wallets for everyday spend, e-commerce, subscriptions, and controlled payments. Understand behavioural shifts, frequency of use, and value per transaction to support ROI optimisation, product design, and targeted go-to-market strategies.