FinTech companies with global ambitions would be wise to look to Africa and Asia for growth given global population trends.
Perhaps no Fintech CEO has been as vocal about Africa as Square (tkr: SQ), CEO Jack Dorsey who had planed to operate from Africa for a period of time. Africa’s “unbanked” population represents a significant growth opportunity for Square and other fintech companies. Peer-to-peer networks thrive in unbanked populations.
Over the next 80 years Africa will have 5 countries on the Top 10 list of largest countries as measured by population. These include Nigeria at #3 (behind China #2 and India #1) and D.R. Congo at #6 among others. Today, only Nigeria made the Top 10 list (see table below).
India and China are projected to flip the Top 2 spots. Pew forecasts India’s population to grow by 5% from 2020 to 2100 while China’s population is expected to decline by 26% over the same period.