Paystack, a Nigerian fintech company owned by Stripe, has introduced a new payment option that allows merchants to accept payments directly from OPay accounts. This integration aligns with Paystack’s focus on facilitating transactions through bank transfers, which made up the majority of transactions in 2023.
By enabling the “Pay by OPay” feature, Paystack is providing a way for merchants to receive payments directly from bank accounts, bypassing the need for debit cards that often come with extra charges.
Through partnerships with 24 Nigerian banks and fintech companies like PalmPay and Kuda, Paystack already supports payments via bank transfers. The recent integration with OPay now allows customers to conveniently make online payments through the OPay app or website.
Shola Akinlade, the CEO of Paystack, emphasized the importance of offering familiar and trusted payment options to customers.
OPay gained popularity as a reliable payment method during a surge in online transactions in 2023 when traditional banks faced challenges. Paystack’s collaboration with OPay aims to deliver a high transaction success rate of 99.9999% to customers.
In addition to OPay, Paystack has also teamed up with the Nigeria Inter-Bank Settlement Scheme (NIBSS) to introduce direct debit services, enabling customers from most Nigerian banks to pay merchants directly from their accounts.
Since its introduction in 2017, Paystack’s “pay with bank transfer” feature has witnessed significant growth, accounting for over 50% of the company’s total transaction volume by the end of 2023, up from less than 13% in 2021.
Dauda Gotring, the Managing Director of OPay, expressed the company’s commitment to leveraging modern technology to provide customers with innovative financial services.