How can a next-gen Core Banking Solution accelerate financial inclusion in Africa?

According to World  Bank data, 49% of adults in sub-Saharan Africa had a bank account by 2022, more than double the number in 2011. While this growth is significant, it hides profound inequalities in account ownership, from 6% in South Sudan to 91% in Mauritius.

Mobile money has enabled millions to access basic financial services without going through a traditional bank. Today, digital banks are building on this model, offering solutions accessible via mobile apps.

But how can a next-generation core banking solution enable banks to reduce these inequalities and reach populations still excluded from the financial system?

Freeze Frame: Obstacles to Bank Penetration in Africa

Insufficient resources, lack of KYC documents (such as proof of address, ID, etc.), and remote locations... the obstacles to banking are varied. Compounding these challenges are unique financial habits in specific sectors. For example, many workers still receive their income in cash, especially in the agricultural industry. However, with digital payments, a significant proportion of these farmers could be encouraged to open a bank account — especially since 45% of them own a mobile phone, promising rapid deployment of mobile payments in this sector.

Growth Drivers for Digital Payments

The COVID-19 pandemic catalyzed the digital transition with travel restrictions, the need to limit the use of cash for everyday purchases, and the distribution of government aid.

Mobile money, widely adopted in countries such as Kenya (with M-Pesa) and Côte d'Ivoire, has proven its effectiveness in democratizing transactions and facilitating everyday payments. Many banks have seen this as a new opportunity and have decided to launch similar products.

Additionally, government-issued digital payments — such as welfare or subsidies — and digital salary disbursements have encouraged many adults to open their first bank account.

The rise of digital banking and payment infrastructure

In response to changing financial behavior, several banks have developed fully digital banking services that are accessible via mobile and USSD. One notable example is MASRVI, the digital bank launched by BMCI (Banque Mauritanienne pour le Commerce et l'Industrie) in Mauritania.

Developed in just a few months, this solution was designed to reach a broader population — especially those with lower incomes. Accessible via a mobile app and USSD for users without smartphones, MASRVI has lowered the cost of accessing financial services while promoting broader financial inclusion.

Launched at the height of the COVID-19 crisis, the project quickly found its audience. More than 700 merchants and major billers have now been onboarded. This digital bank has become a strategic lever for BMCI, illustrating the potential of digital banking in the African financial landscape.

This success reflects a broader trend: digital banking is no longer an alternative but is necessary to meet the unbanked populations and modernize the payments ecosystem across Africa.

• To find out more about this project, read also: BMCI's success story

The Strategic Role of Banking Agent Networks

Facilitating Access to Financial Services for New Populations

The high cost of bank branches limits their availability in many remote areas. To address the issue of limited banking accessibility, many banks have established networks of banking agents. These agents are trusted third parties — such as shopkeepers, kiosks, or service stations — who offer banking services on behalf of the bank. Using a payment terminal or a banking app installed on their smartphones, they enable customers to perform transactions like depositing or withdrawing money.

Thanks to the rise of digital banks and their agent networks, banks are simplifying transactions and reaching new customer segments previously excluded from the traditional financial system.

Younger generations, already accustomed to digital technology, are especially receptive to mobile payment solutions. This is also true for recipients of government aid and employees who receive biweekly payments.

In this context, agent networks are essential. For instance, when someone receives a payment into their account, they can be notified via SMS and visit a banking agent to withdraw cash or perform other operations. This is often the first step toward financial inclusion. From there, customers can access services like bill payments, digital microloans, and savings products.

But these agents are more than just transaction points — they are digital ambassadors. As the closest point of contact, they guide users, help them understand available services, and turn a simple financial interaction into a gateway to long-term digital banking adoption.

The Requirements of Modern Core Banking to Support Financial Inclusion

Interoperability Between Different Payment Systems

To meet market needs, a modern core banking solution must be omnichannel, seamlessly integrating mobile applications and locally adapted technologies such as USSD. Users need access to financial services regardless of their device type.

At the same time, the platform must be capable of managing agent networks and integrating merchants for mobile-based payments. A modular approach is essential: the solution should be able to start with core functionalities and then scale progressively, incorporating new services over time.

Interoperability with other systems — via open APIs — is a key enabler, allowing banks to connect with third-party service providers and broaden their offerings.

IT Cost Reduction

Cloud technology also provides a significant advantage by reducing infrastructure costs for banks.

A practical solution should also include automation modules that minimize time-consuming back-office tasks, enabling institutions to operate with leaner teams who can focus on core functions.

Finally, with the help of low-code development tools, institutions can independently customize their services and seamlessly integrate new partners. This approach supports the rapid expansion of banking offerings while ensuring ease of use and simplified deployment.

Transaction Regulation and Security

Security and compliance are at the core of digital banking solutions. Skaleet adheres to the highest international security standards. The presence of central European banks among our clients means the platform undergoes rigorous and frequent audits, ensuring ongoing compliance with top-tier regulatory requirements.

Skaleet: Agile Core Banking for Secure Local Finance

Skaleet provides a modular and agile core banking solution tailored to meet the unique needs of each market. It is easy to deploy and enables the rapid rollout of new financial services while integrating seamlessly into local ecosystems.

With a shortened time-to-market, Skaleet helps accelerate innovation and the expansion of banking offerings — all while maintaining exceptional levels of security and regulatory compliance.

Want to learn more ? Contact our team today!