Nigeria's central bank-backed Nigerian Inter-Bank Settlement System (NIBSS) has taken a significant step towards a cashless economy by introducing QR code payments for small-value transactions. According to NIBSS CEO, Premier Owoh, the innovative payment method has already shown promising results, with over 750,000 bills paid using QR codes in its first week of integration with the Lagos State government's ERP software.

The decision to adopt QR code payments is driven by the need for an alternative that offers instant settlement, security, affordability, and easy reversals. NIBSS believes that QR codes meet these criteria, with transactions being instant, stickers being cheap to print, and the system being secure. Engineers at NIBSS have also worked to reduce latency by eliminating separate fee queries and improving the security of QR code payments with stronger authentication measures.

Users can only make QR code payments from their banking app, adding an extra layer of security. The banks are also on board with NIBSS, with product managers like Shamsudeen at UBA demonstrating how QR code payments work seamlessly from the bank app. Sterling Bank employees have also developed a separate app for QR codes, marketed at merchants.

The success of QR payments will depend on how efficiently merchants can accept payments safer, faster, and more transparently with QR codes. If merchants can adopt QR codes effectively, word-of-mouth marketing will help make QR codes ubiquitous, much like fintechs became widely accepted after they shone during 2023's cash scarcity.

In related news, Kenya has introduced a new rule requiring foreign smartphone and car-tracking device companies to pay a $1,937 licence fee to operate in the country. The move aims to stop fake products from entering the market, but it conveniently excludes local smartphone manufacturers and distributors from the licensing rule.

Meanwhile, the Central African Republic (CAR) has launched a meme coin, $CAR, which has failed to garner interest from traders and citizens alike. The coin's price has dipped by over 90% in the last 24 hours, shedding off more than nine-tenths of its market cap. The rollout of $CAR has also been marred by challenges, including the suspension of a dedicated X account for the coin.

The World Wide Web 3.0 is also gaining traction, with Bitcoin, Ether, XRP, and Solana showing promising growth in the crypto market. Upcoming events, such as the Africa Tech Summit in Nairobi, Kenya, and the Omniverse Africa Summit, will provide opportunities for industry leaders to discuss the future of tech and innovation in Africa.

As the fintech landscape continues to evolve, it remains to be seen how NIBSS's QR code payment innovation will shape the future of small-value transactions in Nigeria and beyond.