PalmPay, one of Nigeria’s leading fintech platforms, has announced a significant leap in its daily transaction volume, crossing the 15 million mark in Q1 2025 across its markets, a sharp rise from the around 10 million daily transactions it recorded in 2024.
The milestone was disclosed during a media roundtable held on Wednesday to review the company’s Q1 2025 performance.
PalmPay also revealed that its user base now stands at 35 million, with each user making an average of 50 transactions per month.
Strong user engagement and financial growth
According to the company’s Q1 report, PalmPay maintains an 80% customer retention rate, serving over 13 million customers monthly via its network of more than 1 million mobile money agents and merchants across Nigeria.
A major highlight of the quarter was PalmPay’s N4 billion interest payout to users of its PalmPay Wealth Product.
With 9 million monthly active wealth users, the company said it offers flexible savings interest rates of up to 20% annually, and Smart Earn rates up to 22%.
- PalmPay made strategic infrastructure moves in Q1, including the opening of a new physical office in February to improve user support and enhance issue resolution times.
- In March, the company introduced PalmPay Debit Cards, extending its digital banking ecosystem beyond the mobile app.
- Looking ahead, CEO of PalmPay, Chika Nwosu, revealed plans to distribute 5 million debit cards nationwide, open new offices across Nigeria’s six geopolitical zones, and deepen financial services in underserved regions.
Tackling fraud with enhanced security
Amid rising concerns about fraud in the financial sector, PalmPay reported that it has prioritised security and risk management, implementing measures such as real-time transaction monitoring, multi-factor authentication, and account lock features to protect user accounts and transactions.
“One of the challenges we encounter in the fintech space is related to fraud. We are responding by enhancing our security framework to protect our users and ensure trust in our platform,” Nwosu said.
What you should know
The growing transactions on PalmPay platform reflect the general upswing in mobile money transactions in Nigeria across fintechs, specifically mobile money platforms.
According to data released by the Nigeria Inter-Bank Settlement Systems (NIBSS), licensed mobile money operators, including Palmpay, OPay, and 15 others, processed transactions valued at N71.5 trillion between January and December 2024.
- This represents a 53.4% increase in transactions across the mobile money platforms when compared with the N46.6 trillion recorded in the full year 2023.
- The volume of transactions across the fintech platforms also increased by 23%, jumping from 3 billion in 2023 to 3.9 billion in 2024, according to NIBSS data.
- Meanwhile, mobile money operators in Nigeria are anticipating a bigger boom in transactions this year on the back of a projected increase in smartphone penetration in Nigeria.
