Redtech, MoMo PSB and UBA Expand Cardless Payments

In Short

• Redtech, MoMo PSB and UBA have launched a payment interoperability partnership in Nigeria.
• The goal is to expand cardless payments for consumers and merchants.
• The deal combines payment technology, merchant acquiring, and a mobile money wallet user base.

What Happened

Redtech, MoMo PSB and United Bank for Africa (UBA) have announced a partnership focused on cardless payments across Nigeria. Cardless payments are transactions that do not require a physical bank card, for example paying from a mobile wallet or using a phone-based payment prompt.

The partnership is positioned as an interoperability play. Interoperability means different payment systems can work together, like making sure a wallet user can pay at more merchant locations without the merchant needing to integrate multiple tools.

Redtech is providing payment technology and enablement, which typically includes the software that connects merchants, channels, and transaction routing. UBA is contributing its merchant acquiring and distribution layer, meaning it helps sign up merchants and process payments for them on the bank side. MoMo PSB is bringing its mobile money wallet ecosystem and customer base, which can drive usage at checkout.

Why It Matters

Nigeria has seen steady growth in digital transfers, but everyday merchant payments still face friction, especially for small businesses that rely on cash or fragmented payment options.

If executed well, this kind of bank, wallet, and payments-tech partnership can increase acceptance points for wallets and reduce integration work for merchants. It can also improve transaction success rates by offering more routing paths when one rail is congested.

For founders and operators building on payment rails, the partnership is another sign that distribution and merchant acquiring remain key bottlenecks. More collaboration between banks, payment enablers, and PSBs could make it easier to scale QR, USSD, and wallet-based checkout nationwide.