Onafriq winds down Baxi agent banking in Nigeria, shifts focus to pan-African payments
Onafriq Nigeria Payments Limited announced Friday it will wind down its Baxi agent banking business to refocus on pan-African payments, citing macroeconomic headwinds like inflation and naira depreciation that undermined the offline model's sustainability since 2024. The closure affects only employees and agents connected to Baxi, with agents instructed to transfer funds to their preferred principal bank within 30 days. Onafriq will continue serving Nigeria through its payments network and card issuing services, confirming this isn't a full market exit.
Entered Nigeria in 2021 via Baxi acquisition, Onafriq invested heavily through 2023 but faced deteriorating conditions: sharp naira depreciation, growth in instant account-to-agent payments reducing transaction volumes at agents' POS, and increased competition compressing margins. CEO Dare Okoudjou called the decision difficult but necessary for affected colleagues and partners who built the Baxi network.
For Baxi agents, what steps are you taking to transfer funds within the 30-day window, and which alternative payment services will you use for your business needs now?