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The global payments landscape is undergoing a rapid transformation. New technologies coupled with the rising demand for seamless, secure, and efficient transactions have spurred on an exciting new era of innovation and growth. 
With 2025 fast approaching, here are important trends that will shape the future of payments: 
Read also: <a href="https://technext24.com/2024/12/04/%e2%82%a650-electronic-money-transfer-levy/">Will Nigeria’s ₦50 electronic money transfer levy disrupt its cashless revolution?&nbsp;</a> 
<h6 id="1-the-rise-of-real-time-payments" class="wp-block-heading">1. The rise of real-time payments</h6> 
Until recently, real-time payments have been used in Africa for cross-border <a href="https://onafriq.com/" target="_blank" rel="noopener">mobile money payments</a>, but less so for traditional payments. We are seeing companies like Mastercard investing in this area, as well as central banks in Africa putting focus on this. 
2. Cashless payments will increase 
In 2025, we will see the continued acceleration of cashless payments across Africa. B2B payments in particular will also increase. Digital payments began between individuals but are now becoming commonplace for larger corporate transactions. 
3. Digital currency will hit the mainstream 
In the cryptocurrency space, we will see an increase in the use of stablecoins like United States Digital Currency (USDC) and Tether (USDT) which are linked to US dollars. These will come to replace traditional cryptocurrencies as their price point is more stable. 
This year, many countries will begin preparing for Central Bank Digital Currencies (CBDCs), government-backed digital currencies which use blockchain. 
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 Luke Kyohere, Group Chief Product and Innovation Officer at Onafriq
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The increased uptake of digital currencies reflects the maturity of distributed ledger technology and improved API availability. 
4. Increased government oversight 
As the adoption of digital currencies increases, governments will also put more focus into monitoring these flows. In particular, this will centre on companies and banks rather than individuals. The goal of this will be to control and occasionally curb runaway foreign exchange (FX) rates. 
5. Business leaders buy into AI technology 
In 2025, we will see many business leaders buying into AI through respected providers relying on well-researched platforms and huge data sets. Most companies don’t have the budget to invest in their research and development in AI, so many are now opting to ‘buy’ into the technology rather than ‘build’ it themselves. 
Moreover, many businesses are concerned about the risks associated with data ownership and accuracy so buying software is another way to avoid this risk. 
6. Continued AI Adoption in Payments 
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 <img loading="lazy" decoding="async" width="1600" height="900" src="https://technext24.com/wp-content/uploads/2023/02/E-payment-transactions.jpeg" alt="True financial inclusion calls for smaller markets to receive equal attention to larger ones" class="wp-image-180206">
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 Image Source: Andrew Esiebo/Rest of World. 
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In payments, the proliferation of AI will continue to improve user experience and increase security.&nbsp; To detect fraud, AI is used to track patterns and payment flows in real-time. If unusual activity is detected, the technology can be used to flag or even block payments which may be fraudulent. 
When it comes to user experience, we will also see AI being used to improve the interface design of payment platforms. The technology will also increasingly be used for translation for international payment platforms. 
7. Rise of Super Apps 
To get more from their platforms, mobile network operators are building comprehensive service platforms, integrating multiple payment experiences into a single app. This reflects the shift of many users moving from text-based services to mobile apps. 
Rather than offering a single service, super apps are packing many other services into a single app. For example, apps which may have previously been used primarily for lending, now have options for saving and paying bills. 
8. Business strategy shift 
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 <img loading="lazy" decoding="async" width="1144" height="548" src="https://technext24.com/wp-content/uploads/2022/07/Screenshot-2022-07-06-at-10.52.43.png" alt="B2B payments in Africa slowed by high transaction cost, manual processes- Duplo Report" class="wp-image-148011">
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Recent major technological changes will force business leaders to focus on much shorter prediction and reaction cycles. Because the rate of change has been unprecedented in the past year, this will force decision-makers to adapt quickly, be decisive and nimble. 
As the payments space evolves,&nbsp; businesses, banks, and governments must continually embrace innovation, and collaboration, and prioritise customer needs. These efforts build a more inclusive, secure, and efficient payment system that supports local to global economic growth – enabling true financial inclusion across borders.

The Future of Payments: Key Trends to Watch in 2025

Technext.ng

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