OPay has grown remarkably from its Nigerian launch in 2018 into one of the country’s most dominant financial services platforms. Initially established to facilitate digital payments in a largely cash-driven economy, OPay successfully navigated Nigeria’s complex regulatory environment, infrastructure gaps, and economic volatility. Through strategic pivots, smart deployment of capital, technological innovation, and an expansive agent network, OPay transformed into a financial powerhouse.
Origins in 2018: Entering a Nascent Market
OPay entered Nigeria in 2018, launched by Opera, the Norway-based tech company backed by Chinese investors. It was built upon the foundation of Paycom, a Nigerian payment company already licensed by the Central Bank of Nigeria. This gave OPay the necessary legal footing to operate from inception. The company began with a mobile wallet offering peer-to-peer payments, airtime top-up, and utility bill payments, aiming to provide banking alternatives to the large population of unbanked Nigerians.
2019: Early Growth and Super-App Vision
By 2019, OPay had adopted an ambitious “super-app” strategy. The company launched a range of services including ORide (motorcycle ride-hailing), OCar, OFood, and OExpress, all accessible through its mobile app. These services created daily user engagement and drove adoption of its core wallet functionality. Generous subsidies and promotional pricing fueled growth, and OPay quickly expanded to 18 cities in Nigeria.
The company’s rapid scale was underpinned by strong investor backing, with $50 million raised mid-year and another $120 million secured later in 2019. These funds helped OPay build infrastructure, expand operations, and attract users in a competitive space.
2020: Pivot and Strategic Focus Amid Crisis
OPay’s super-app strategy faced a major test in early 2020 when the Lagos State government banned commercial motorcycles in key areas, directly impacting its ORide business. This, coupled with the COVID-19 pandemic and lockdowns, forced OPay to shut down its ride-hailing, food delivery, and logistics verticals.
Rather than retreat, OPay pivoted decisively. The company redirected resources toward its core fintech offerings, including mobile payments, merchant services, and agency banking. The shift was well-timed: demand for digital financial services surged during lockdowns, and OPay’s platform began to see increased transaction volumes.
Expanding Through Agent Banking
One of OPay’s smartest moves was investing in a nationwide agent network. These agents, mostly small shop owners, provided basic banking services like deposits, withdrawals, fund transfers, and bill payments in underserved areas. By 2020, OPay had hundreds of thousands of agents across Nigeria.
This decentralized infrastructure proved critical during times of limited banking access, such as the 2023 cash crunch caused by Nigeria’s currency redesign. As bank ATMs and branches struggled with demand, OPay’s agents provided much-needed financial access to millions of Nigerians. The agent model not only advanced financial inclusion but reinforced OPay’s relevance during crises.
Core Offerings: Payments, POS, Lending
Today, OPay’s services revolve around its core wallet and app. Users can send money, pay bills, buy airtime, and conduct everyday transactions with ease. The app is widely used across income groups for its reliability and simplicity.
OPay also provides point-of-sale (POS) terminals to small and medium businesses, allowing them to accept card and wallet-based payments. It introduced debit cards linked to its wallets and QR code payment functionality for merchants, expanding its merchant acquiring business.
The company also ventured into digital lending. Though it faced scrutiny over lending practices, OPay has refined its credit models and continues to offer microloans within regulatory guidelines. These services complement its ecosystem, driving repeat usage and deepening customer relationships.
Access to Capital: Fuel for Growth
From its inception, OPay benefited from strong capital backing. After its initial investments in 2019, it raised $400 million in a Series C round in 2021, led by SoftBank’s Vision Fund, valuing the company at $2 billion. This marked SoftBank’s first major investment in Africa and positioned OPay as one of the continent’s few fintech unicorns.
This capital enabled the company to build robust tech infrastructure, expand agent networks, and subsidize service offerings to gain market share. Unlike many local startups that struggled with cash constraints, OPay’s deep funding allowed it to scale aggressively and weather economic disruptions.
By 2023, its valuation was nearing $3 billion, and the company reportedly achieved monthly profitability for the first time, signaling a shift from growth to sustainability.
Scale and Impact
OPay now boasts over 50 million registered users, with over 40 million in Nigeria alone. The app processes more than $12 billion in monthly transactions and supports over a million merchants nationwide. Its agent network spans across rural and urban regions, enabling financial access in areas where traditional banks are scarce.
The company has become one of the most downloaded finance apps in Nigeria and plays a pivotal role in driving the country’s cashless agenda. Its influence extends beyond consumer finance to enterprise solutions, giving it broad market coverage.
Navigating Regulatory Challenges
As OPay grew, it attracted closer attention from regulators. In 2024, amid concerns over fraud and inadequate KYC processes, the Central Bank of Nigeria temporarily halted onboarding of new customers by several fintechs, including OPay. The company responded by enhancing compliance systems, improving customer verification, and collaborating closely with authorities.
OPay’s leadership also reflects a shift toward institutional maturity. The appointment of banking professionals to executive roles strengthened its regulatory engagement. By aligning with evolving regulatory expectations, OPay has shown an ability to course-correct and sustain its growth.
CSR: Recent Activities and Social Impact
OPay has demonstrated strong commitment to education and youth empowerment through its comprehensive CSR initiatives. Its flagship program, the ₦1.2 billion, 10-year university scholarship scheme, supports 400 academically gifted but indigent students annually across 20 Nigerian universities. Each student receives ₦300,000 per year to cover tuition and living expenses. Institutions recently added to the program include Olabisi Onabanjo University, Obafemi Awolowo University, and Benue State University, building on earlier partnerships with the University of Ibadan, Ahmadu Bello University, FUTMINNA, University of Ilorin, and Kwara Polytechnic. This initiative reflects OPay’s strategic investment in long-term human capital development.
Beyond higher education, OPay has partnered with Field Africa Foundation to distribute school materials to over 4,500 pupils in 30 underserved Lagos primary schools. In 2023, it launched a multi-year project focused on reducing out-of-school children through educational grants and community engagement. These efforts aim to bridge education gaps, especially in low-income communities. In recognition of its financial and social impact, OPay received the Central Bank of Nigeria’s Financial Inclusion Innovation Award in 2024, reinforcing its role not just as a fintech leader but as a responsible corporate citizen championing inclusive development in Nigeria.
Conclusion
OPay’s success in Nigeria is a case study in strategic adaptation. From launching as a wallet app in 2018, to experimenting with super-app services, to pivoting sharply into core fintech, OPay has demonstrated agility and foresight. Its agent model, product innovation, and access to capital gave it a strong foundation, while its willingness to evolve preserved its momentum.
As Nigeria’s digital economy continues to expand, OPay is positioned not just as a fintech leader, but as a foundational player in the country’s financial infrastructure. Its journey underscores the power of local insight, technological leverage, and resilient strategy in building a lasting business in Africa’s most dynamic market.
