Fincra secures payment system provider licence in Tanzania to drive East African expansion

The Bank of Tanzania has granted Fincra’s 100% controlled local entity a Payment System Provider licence under the Payment Systems Licencing and Approval Regulations, 2015.

This regulatory approval authorises Fincra to deliver secure, scalable, and compliant payment services to businesses and consumers across Tanzania, marking a pivotal step in its East African expansion strategy.

The licence empowers Fincra to offer its full suite of payment solutions in Tanzania, including local collections, business payouts, and API-based infrastructure for real-time payments.

These services are designed to enable businesses in sectors such as fintech, logistics, retail, travel, and remittance to streamline operations, move money efficiently, and scale across borders.

“We are thrilled to receive this license from the Bank of Tanzania,” said Wole Ayodele, CEO of Fincra.

It reflects our long-standing commitment to regulatory integrity and positions us to deliver even more value to businesses in East Africa. This is a key part of our mission to build the rails for an integrated Africa.

Tapping into Tanzania’s digital boom

Tanzania’s digital economy is experiencing rapid growth, driven by increasing mobile penetration, a young and tech-savvy population, and government initiatives to promote financial inclusion.

According to recent industry reports, mobile money transactions in Tanzania increased by 26.73% to 6.41 billion in 2024, up from 5.06 billion in 2023, according to the Bank of Tanzania’s (BOT) Third Annual Payment Systems Report.

“The increase in mobile money activities during the year was attributed to economic growth, widespread agent expansion, innovative service diversification, and progressive regulation,” the BOT report states.

Platforms like M-Pesa and Tigo Pesa lead the charge. However, businesses still face challenges in accessing robust, API-driven payment infrastructure to support cross-border operations and real-time transactions.

The fintech’s entry into Tanzania is strategically aligned with these market dynamics. Fincra aims to bridge the gap between local businesses and global markets. This would enable them compete in an increasingly interconnected world.

For instance, a Tanzanian fintech startup can now leverage Fincra’s APIs to collect payments locally in Tanzanian Shillings and facilitate payouts to international vendors in multiple currencies, all within a compliant framework.

Read also: Focused on ‘customer obsession’, Fincra aims to meet payment needs within and beyond Africa

A logistics company in Dar es Salaam can use Fincra’s platform to pay suppliers in Kenya or South Africa instantly, while a remittance provider can leverage Fincra’s infrastructure to offer competitive cross-border transfer services.

The licence also positions the company to support Tanzania’s broader financial inclusion goals. Fincra empowers small and medium-sized enterprises (SMEs) to participate in the digital economy by providing tools for businesses to process payments efficiently. This fosters economic growth and job creation and aligns with the Tanzanian government’s Vision 2025, which emphasises leveraging technology to drive sustainable development.

Building a pan-African financial ecosystem

Fincra’s Tanzanian licence follows its earlier regulatory approval in South Africa as a Third Party Payments Provider (TPPP), underscoring its commitment to building a multi-market regulatory foundation.

Fincra is one of the few fintech entities actively working to create a truly pan-African financial ecosystem with operations now spanning key African markets. This approach allows businesses to operate seamlessly across borders, overcoming the complexities of Africa’s fragmented regulatory and financial landscape.