Podcast 143: Africa's Fintech: Local belief changes everything, with Germain Bahri

For more than a decade, global fintech has been shaped by playbooks developed in Silicon Valley and refined across Europe. Product-led growth, rapid iteration, design-first experiences, and license portability are often treated as universal rules. This Fintech Garden episode challenges that assumption by examining what happens when those models are applied in African markets, where infrastructure, regulation, and trust operate under very different conditions.

Drawing on the experience of Germain Bahri, co-founder at Zazu, the discussion makes a clear point. Fintech success in Europe does not automatically translate to emerging markets, because the problems being solved are not the same.

Same Technology, Different Definition of Value

At a technical level, fintech systems look similar everywhere. APIs, cloud infrastructure, and core banking platforms are globally available. The difference lies in how markets evaluate value. In Europe and the US, fintech competition focuses on incremental improvements such as smoother onboarding, better UX, or lower fees.

In many African markets, products are judged on whether they solve structural gaps such as access to functional business banking, reliable payments, and basic digital tools for entrepreneurs. Product-market fit is measured by impact rather than polish.

Infrastructure Shapes Strategy

Infrastructure maturity is a critical divider. In Europe, banking-as-a-service providers and payment processors have already assembled modular ecosystems. Founders orchestrate existing components and can launch quickly.

In African markets, these building blocks are often incomplete or fragmented. Even in relatively advanced economies like South Africa, fintech companies may need to build core infrastructure themselves or develop it alongside partners. Licensing frameworks vary by country and are rarely portable, shaping timelines, capital requirements, and product scope from the outset.

Regulation and Trust Come First

Regulation and trust follow a different order in emerging markets. In Europe, early neobank adoption was driven by experience and efficiency, with licensing and fund safeguarding treated as secondary considerations.

In African markets, users want to understand regulation first. How funds are held, which institutions are involved, and whether the company will exist long term are central to adoption. Regulation is not a backend detail. It is part of the product.

Capital and Execution Over Hype

Fundraising realities reinforce this gap. African fintech receives a small share of global investment, and post-2021 conditions raised the bar for early-stage capital. Investors increasingly expect working products, early traction, and local validation.

The episode also rejects vanity metrics. Visibility, branding, and social engagement matter far less when customers are deciding whether a product can reliably run their business. Zazu’s focus on core business banking capabilities such as online onboarding, payments, invoicing, and expense management reflects a broader principle. Retention is driven by outcomes, not impressions.

A Different Fintech Playbook

The conclusion is straightforward. Emerging markets are not harder versions of mature ones. They are structurally different. Fintech companies that succeed abandon imported assumptions and design products around local realities, where trust, infrastructure, and impact define value.