South African fintech focus |💸4G Capital’s AI-powered rise in Africa 🤖🌍 | Visa fuels fintech innovation with new accelerator 🚀💳 | Regulators set the stage for fintech growth 📜🏦

The Banking Brief: Daily Edition

For African & International Fintech & Banking Leaders
August 11, 2025 | 6-minute read

🔥 This Week’s Golden Nuggets

• 4G Capital named Best Fintech at African Banker Awards 2025: Driving financial inclusion in East Africa with AI and mobile money

• South African fintech startups to watch in 2025: Spotlight on payment innovations for informal merchants and travel sectors

• Visa opens applications for Africa Fintech Accelerator cohort 5: Boosting innovation and funding across continent

• Paymenow secures ZAR 400 million funding from Standard Bank: Expanding wage access solutions across Africa

1. 4G Capital Wins Best Fintech at African Banker Awards

Why it matters: 4G Capital’s ‘touch-tech’ blend of machine learning, mobile money, and personalised business training is empowering East Africa’s informal sector and improving financial literacy—key to inclusive growth.

Zoom in: Headquartered in Jersey with operations in Kenya and Uganda, 4G Capital uses proprietary fintech systems to provide tailored working capital loans paired with essential business training. 94% of their clients report increased financial literacy. This recognition at the prestigious African Banker Awards underlines their impact in micro, small, and medium enterprise (MSME) financing.

Be smart: Fintechs that combine tech with human-centric training can unlock informal economies’ potential and boost sustainable growth.

2. South African Fintech Startups Breaking Ground

Why it matters: South Africa commands almost 40% of Africa's fintech revenue, with a focus on payments, money transfers, and innovative solutions for underserved markets.

Zoom in: Startups like Tata-iMali, offering low-cost blockchain wallets and point-of-sale systems using Rand-backed stablecoins, are simplifying payments for spaza shops and informal merchants. Another standout, TurnStay, cuts international payment costs by up to 70% for travel businesses, improving direct bookings and revenue retention. The sector sees increasing VC interest, with Tata-iMali recently raising $200,000 in funding led by Ripple’s ex-CTO, Stefan Thomas, and TurnStay closing a $2 million seed round.

Be smart: Keep a close eye on niche fintechs solving specific pain points; they are often the next wave of disruptors.

3. Visa Launches New Fintech Accelerator in Africa

Why it matters: Visa’s fifth Africa Fintech Accelerator will provide funding, mentorship, and access to a global network, helping startups scale and innovate. This signals ongoing commitment from global players to Africa’s fintech ecosystem.

Zoom in: The accelerator targets startups innovating in payments, digital identity, credit, and financial inclusion. With Visa’s reach, cohort participants can expand their impact across multiple African markets.

Be smart: Startups and investors should watch for this accelerator as a key pathway to partnerships and regional expansion.

⚖️ Policy Watch

🚀 The Scoop

• Stitch Group acquired Efficacy Payments, enhancing card acquiring services for merchants in South Africa.

• Squirrel Away launched a popular South African app converting gifting into investment opportunities.

• Discussions around AI biometrics and behavioural verification technologies continue to shape fintech fraud prevention strategies worldwide.

🌟 Startup Spotlight: Tata-iMali

• Who: South African startup creating blockchain wallets and point-of-sale systems for informal merchants.

• What: Uses a Rand-backed stablecoin (ZARP) that enables instant payment settlement for small retail businesses often excluded from complex card payments.

• Funding: Raised approximately $200,000 in July 2025, including investment from Stefan Thomas, former CTO of Ripple.

• Why it matters: Simplifies digital payments for spaza shops and street traders, expanding access to cashless and secure transactions with low fees.

👀 What to Watch

1. African fintech developments at upcoming Global Fintech Hackcelerator events.

2. South African Reserve Bank’s upcoming policy updates on open finance and AI implementation.

3. Visa Africa Fintech Accelerator cohort announcement and new partnerships.

🧰 Toolkit

1. South African Reserve Bank Fintech Resources — Guidelines and reports on fintech regulation and innovation.

2. Visa Africa Fintech Accelerator — Application and program details.

3. Paymenow's wage access solutions — Case study in funding and scaling financial inclusion tools.

+ This

In South Africa, fintech is not just about innovation but impact: a travel fintech helping guesthouses get paid internationally and an app turning gifting into investing highlight how digital tools reshape everyday financial interactions. The rise of blockchain wallets for informal merchants means even the smallest businesses can leapfrog into modern financial systems. Powerful stories from the continent’s fintech frontline.

That’s 5 minutes. See you in tomorrow’s edition!

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