Fintava Pay, a Nigerian fintech startup, is making strides in addressing financial exclusion in Northern Nigeria through its innovative Banking-as-a-Service (BaaS) platform. Founded in 2022 by Tobi Arowolo, Samuel Ojerinde, and Isaiah Tokinbo, the company provides white-label banking solutions to businesses, microfinance banks, and cooperative societies, enabling them to offer tailored financial services to their respective communities.

Unlike traditional fintechs that focus on direct-to-consumer apps, Fintava Pay's approach is particularly suited to Northern Nigeria, where digital literacy is low and financial exclusion is most severe. According to the Central Bank of Nigeria's 2023 annual report, approximately 38% of the North East and 47% of the North West's population are financially excluded. Citizens in this region rely heavily on super agents to access cash and perform banking transactions.

Fintava Pay's customized banking solutions cater to the unique needs of Northern Nigeria's population. The company often provides solutions in Hausa, a local language commonly spoken in the region, and employs transaction verification methods that don't rely on smartphones, which are still uncommon in the areas it serves. For instance, Fintava Pay sends OTPs to three family members in different locations to ensure that agents do not have access to users' accounts.

To accommodate users without smartphones, the company provides ATM cards for cash withdrawals. This approach has shown promising results, with Fintava Pay recently onboarding BusyPay, a super agent network in Kano, and registering 1,000 downloads within 24 hours of launching the custom banking app.

Partnering with super agent networks like BusyPay has helped Fintava Pay overcome the negative perception of interest-based banking in the region, which is largely Muslim. By working with trusted local businesses and agents, Fintava Pay has been able to increase adoption of its financial services.

However, the company faces challenges related to fraud and human error. To combat these issues, Fintava Pay requires three separate phone numbers (including family members) for identity verification and OTP authentication, and agents undergo strict onboarding requirements to ensure trust. The company also hires ethical hackers to regularly check for loopholes within its system.

Beyond Nigeria, Fintava Pay is courting interest from across Africa and is currently working with a Zambian business to replicate its model. The startup is exploring fundraising opportunities to fuel expansion, but its founders are cautious about taking investor money too early, preferring to prove their model at scale first.

Fintava Pay generates revenue through a mix of service fees, subscription plans, and transaction charges. Businesses pay to access its API infrastructure, allowing them to offer financial services without securing a banking license. The company also takes a cut from wallet top-ups, bank transfers, bill payments, and ATM withdrawals.

With over ₦30 billion ($38 million) in transactions processed and over 100,000 customers served, Fintava Pay is poised to become a pan-African Banking-as-a-Service provider. Its focus on financial inclusion in underserved markets sets it apart from competitors, and its customized solutions for local financial behaviors have the potential to drive meaningful change in the region.