Baxi, operated by Onafriq Nigeria Payments Limited, will end its Nigerian super-agent and payment terminal service provider activities on Nov. 30 as higher costs and changing payment habits squeeze the business.
In an Oct. 16 announcement, Onafriq said inflation and naira depreciation had raised costs, while instant account-to-account transfers and tighter margins had weakened the agent model. Its other Nigerian payment and card-issuing services will continue, the company said.
Onafriq said Baxi agents had been moved to another principal bank. Employees tied to the closing operation will be consulted, it said.
Other Nigeria-linked technology businesses have curtailed services this year, though the changes differ in scope and cause. Uber ended its Nigerian ride-hailing operations effective Sept. 2 after a business review, according to a customer notice reported by Reuters. Uber gave no detailed reason for the decision.
Moove announced on Oct. 8 that it would conclude its operations in Nigeria. Co-founder Ladi Delano told BusinessDay that Uber had been the main platform supporting Moove’s local vehicle-financing model. Moove said eligible customers would receive ownership of vehicles with an estimated combined value of approximately ₦35 billion. It waived scheduled vehicle payments from Oct. 1, but earlier remittances remain due.
Gigbanc said in July that it was winding down. Co-founder and CEO Paul Omoregie Okundaye told TechCabal that difficulty raising funds and the costs of customer checks and payment infrastructure contributed to the decision. Gigbanc’s website still describes the business as winding down.
Chimoney’s course has been different. TechCabal reported that a May 1 customer email said the Canada-based, Nigerian-founded company had stopped new transactions and integrations. Founder Uchi Nick Uchibeke later announced an acquisition agreement with CapitalSage Vantage Limited. A CapitalSage Vantage listing describes Chimoney as acquired, and Tiki by Chimoney says it uses Chimoney’s payment infrastructure.
Onafriq instructed Baxi agents to transfer their funds to a preferred principal bank within 30 days of its announcement. Baxi’s specified activities are scheduled to end Nov. 30.
