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CoverStory

to 3 billion in 2028. Oman, Kuwait and Qatar all launched In 2021, Nigeria launched a QR-code standard to facilitate
real-time payment schemes in 2023, joining more estab- instant P2B and P2P payments, making real-time payments
lished regional players like Saudi Arabia, Bahrain and a viable alternative to cash. By 2028, real-time payments in
UAE. Nigeria are projected to total 19.7 billion, representing bet-
ter than 50 percent of transactions in the country.
Egypt launched its Instant Payment Network and the Inst-
Pay mobile overlay service in March 2022. Real-time pay- South Africa was an early adopter of real-time payments,
ments are in a "very early growth phase" in Egypt, ACI launching its Real-Time Clearing (RTC) network in 2006.
wrote. The 39 million real-time payments made there in Yet, real-time payments have not gained significant prom-
2023 represented 1.4 percent of overall payments by vol- inence there, due to several factors, including limited
ume. By 2028, real-time payments are projected to total awareness and high fees charged by RTC banks, ACI not-
1.1 billion and account for one-third of payments in the ed. In 2023 there were 284 million real-time transactions
country. in the country; by 2028 the total is projected to reach 755
million.
Africa had the highest real-time share of electronic pay-
ments in 2023 at 40 percent, with Nigeria leading the way. India is where real-time action has taken off
Nigeria logged 7.9 billion real-time payments in 2023, with With 1.5 billion people and the world's fifth largest econ-
transactions forecast to grow at a CAGR of 20 percent to omy, India has become a proving ground of sorts for real-
reach 19.7 billion by 2028. time payment initiatives. It began in 2016, when the gov-

ernment demonetized 86 percent of currency, taking large
The Nigerian Inter-Bank Settlement System launched denomination bills out of circulation.
NIBSD Instant Payments (NIP) in July 2011. NIBSS is sup-
ported by all commercial banks, micro-finance banks and The stated objective was to reduce corruption and tax
mobile money operators and can be used via any number cheats. It also proved to be a shot in the arm for digital
of modalities including internet and mobile banking, bank payments, Bhaskar Chakavorti, dean of global business at
branches, POS terminals and ATMs. This has contributed the Fletcher School at Tufts University, wrote in a 2017 op
to high adoption rates for NIP, the ACI report explained. ed published by the Brookings Institute.

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