African fintech Flutterwave, has partnered with account-to-account (A2A) payment infrastructure provider Token.io to provide power Pay By Bank transfer capabilities to users in in the UK and EU.
Flutterwave said the deal will give its African e-commerce merchants enhanced access to customers in Europe, while Token.io can use Flutterwave’s presence in Africa to enable a Pay By Bank method for businesses in the continent
A2A or ‘Pay By Bank’ payments are seen as a fast and secure way to move money between bank accountssince no registration or data entry is required. End-users authenticate A2A payments directly with their bankwith the method said to offer cost savings compared to traditional payment methods.
Speaking on the announcement, Olugbenga “GB” Agboola, CEO of Flutterwave said: “Our partnership with Token.io will make it even faster and easier for individuals and businesses to pay and receive money. By partnering with Token.io to provide Account-to-Account payments to our customers, Flutterwave will advance its mission of connecting Africa to the global economy.”
Powered by open banking, Token.io’s A2A infrastructure enables payment providers to launch their own A2A payment capabilities. As part of the deal, these capabilities have already been made available through Flutterwave’s Collect Payments product for businesses, the companies said.
Todd Clyde, CEO of Token.io added: “This partnership underscores our commitment to enabling payment providers to grow with open banking powered A2A payments, which are projected to exceed 6.5 billion in annual global volumes by 2027.”
Pay By Bank capabilities will also be available on Send by Flutterwave, Flutterwave’s cross-border payment platform, in Q3 with the feature expected to further simplify money transfer for Africans in the UK/EU looking to send money back home.