A report by Duplo, a business payment platform for African businesses, reveals that Nigeria lags behind South Africa and Kenya in the development of B2B payment processes in Africa. The report includes the opinions of over 1,200 professionals from Kenya, Nigeria, South Africa, and Ghana.

South Africa leads in electronic bank transfers, with 49.1% choosing it as their preferred payment method for vendors, followed by Nigeria (48.5%), Ghana (34%), and Kenya (31.9%). Kenya is ahead in payment automation, with 83.4% of Kenyans stating their payment system is either semi-automated or fully automated, compared to Nigeria (79.9%), South Africa (71.69%), and Ghana (67.23%).

When it comes to processing invoices, South Africa has a slight lead, with 39.93% stating invoices are typically processed in a day or less, compared to Nigeria's 39.74%.

The B2B payment sector in Africa represents a significant opportunity, but it remains largely untapped due to the complexity and larger transaction volumes. The World Bank estimates the continent's share of the global B2B payment opportunity at $1.5 trillion. However, challenges with payment delays and other issues hinder businesses' cash flow and growth. Digital payment solutions have helped ease some of these challenges, but there are still issues to address in facilitating smoother money flow between African businesses.

The report highlights the importance of security as the most critical feature when choosing B2B payment software, with functionality and ease of use, multiple payment options, and speed also valued by respondents.

Despite the challenges, the future of B2B payments in Africa is seen as promising, with potential for dynamic growth and innovation. Automation of accounts payable and receivable and other aspects of the B2B payment process can reduce payment delays and improve cash flow, driving growth for businesses across the continent. The increased adoption of digital solutions indicates a shift in workplace dynamics, empowering finance professionals to add more value to their organizations.

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