United Bank for Africa (UBA) is staging a bold return to Nigeria’s high-stakes digital payments arena with the rollout of 46,000 smart PoS terminals under its new fintech arm, RedPay Africa.
This strategic move signals the bank’s intent to reclaim market share from dominant players like Moniepoint, OPay, and PalmPay fintech giants that have reshaped the payments landscape in recent years.
Once a major force in Nigeria’s PoS space, UBA had ceded ground as fintech startups surged ahead by building vast agent networks and wooing merchants with promises of instant settlements, faster devices, and streamlined onboarding. But now, through RedPay, UBA is engineering a comeback, one that blends the agility of fintech innovation with the credibility and trust of a licensed bank.
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Since January 2025, over 6,000 RedPay PoS terminals have already been deployed, with an additional 40,000 units expected in the coming months. This aggressive rollout comes on the back of a payment boom.
According to data from the Nigeria Inter-Bank Settlement System (NIBSS), Nigeria’s PoS market processed ?79.5 trillion ($49.7 billion) in transactions in 2024, a staggering 3,356% growth from ?2.3 trillion ($1.44 billion) in 2018.
Fuelled by a protracted scarcity of cash at ATMs and the aggressive push in PoS deployments by fintech companies, the 2024 record represents a 69% increase when compared with the value of PoS transactions in 2023 at N10.7 trillion.
Several banks in Nigeria have been actively expanding their Point of Sale (PoS) services to capture a share of the growing digital payment market, driven by the Central Bank of Nigeria’s (CBN) cashless policy and increasing demand for electronic transactions. While commercial banks had been the major drivers of PoS terminal availability in the past, the entrance of fintech into this space has seen the number of PoS devices in the market grow astronomically.
UBA’s RedPay strategy reflects a broader ambition. More than just chasing interchange fees, the platform is being positioned as a gateway into UBA’s broader suite of merchant solutions including microloans, working capital support, inventory management, business accounts with analytics and embedded insurance. For merchants, especially those weary of transaction failures and frozen funds that plague some fintech platforms, RedPay’s bank-backed assurance may prove compelling.
Though backed by UBA, RedPay Africa operates as a financial technology company, not a bank. It provides digital payments and financial services across Africa through partnerships with licensed banks in each country. The platform is engineered to meet Africa’s diverse needs, offering secure, modern, and user-friendly solutions for businesses and individuals alike.
RedPay’s value proposition lies in its vision for a more financially inclusive Africa. It aims to integrate fiat currencies, cryptocurrencies, and digital assets into a unified account experience. This enables users to seamlessly trade, transact, and manage payments regardless of geography.
Another core focus of RedPay Africa is cross-border payments. By streamlining international remittances and reducing associated costs, the platform seeks to unlock economic opportunities across the continent and foster regional prosperity.
At the heart of RedPay Africa is a team of seasoned professionals from leading African tech companies, all united by a shared commitment to innovation and inclusion. The company is also actively recruiting individuals passionate about driving impact in the fintech space.
UBA’s foray into this competitive pos territory is a clear signal that the battle for digital payment dominance in Africa is intensifying. With RedPay Africa, the bank is not just reentering the market, it is redefining the rules of engagement, combining financial trust with cutting-edge technology to build a future-ready payments ecosystem.