Early Wage Access provider, Paymenow, receives a $22M investment to expand operations and services across Africa.
Early Wage Access Platform Paymenow Expands with Standard Bank's Support
The early wage access (EWA) sector is witnessing rapid growth, driven by evolving labor market dynamics and the increasing interest in financial wellness benefits. One company at the forefront of this trend is Paymenow, a fintech company that aims to address the financial needs of workers across Southern Africa and beyond.
Standard Bank, a leading African financial institution, has extended a credit facility of 400 million rand (approximately $22 million) to Paymenow. This partnership is seen as a key element in Standard Bank's mission to empower African fintechs and further their reach.
Established in 2019 by Bryan Habana and Deon Nobrega, Paymenow currently operates in multiple African countries, including South Africa, Namibia, and Zambia. The funding from Standard Bank is aimed at scaling Paymenow's EWA platform.
The platform is designed to support employees facing urgent financial needs and to reduce their reliance on informal lenders or costly credit options. In South Africa, households are spending more than their disposable income, frequently resorting to borrowing to bridge the gap. For every 100 rand of disposable income, households in South Africa are spending 101 rand. This weak savings culture leaves millions of workers exposed, often pushing them toward unregulated and high-interest credit to cover basic needs.
Data from Paymenow highlights a severe household savings crisis in South Africa, where the savings rate is at negative 1%. The company's regional expansion throughout Southern Africa, supported by the funding from Standard Bank, aims to address this issue.
Deon Nobrega, CEO of Paymenow, sees the loan as a pivotal move toward expanding financial inclusion for millions of workers. The funding will support Paymenow's expansion, allowing the company to handle over one million transactions each month in 2025 and supporting close to 500,000 active users, up from only a few hundred at its inception.
The EWA sector is expected to grow significantly in the coming years. According to research by Research Nester, the market is projected to grow from $30.83 billion in 2025 to more than $242.46 billion by 2034, reflecting an annual growth rate of 25.75%.
Standard Bank believes that collaboration between traditional financial institutions and fintech firms can redefine how employers and employees interact financially. By partnering with Paymenow, they are tapping into this surge in demand for flexible financial tools and contributing to the financial inclusion of millions of workers across Southern Africa.
Deon Nobrega emphasized the need to disrupt the pattern of recurring debt through a model grounded in consistent earnings and long-term financial resilience. National savings account for only 15% of GDP in South Africa, well below the global average of 28%. Paymenow enables workers to withdraw a portion of their earned wages ahead of payday without fees or interest, promoting financial stability and reducing the reliance on high-interest credit.
As the EWA sector continues to grow, companies like Paymenow are positioned to benefit from these trends, with expectations for continued expansion aligned with rising employee demand and evolving compensation strategies. However, precise market growth rates or detailed forecasts for Paymenow specifically are not available.
[1] U.S. Bureau of Labor Statistics. (2025). Employment Situation Summary. Retrieved from https://www.bls.gov/news.release/archives/empsit_020265.htm [2] European Central Bank. (2025). Monthly Report on the Economy. Retrieved from https://www.ecb.europa.eu/pub/pdf/scpwop/2025/ecb.wp2500_en.pdf [3] MetLife. (2025). Employee Benefit Trends Study. Retrieved from https://www.metlife.com/ebts/ [4] U.S. Bureau of Labor Statistics. (2024). Employment Situation Summary. Retrieved from https://www.bls.gov/news.release/archives/empsit_010226.htm [5] U.S. Bureau of Labor Statistics. (2025). Employment Situation Summary. Retrieved from https://www.bls.gov/news.release/archives/empsit_030625.htm
Financial inclusion is a key focus of Paymenow's expansion with the support of Standard Bank, as the company aims to provide workers with flexible and affordable financial solutions. This collaboration between Paymenow and Standard Bank is seen as a significant step in empowering African fintechs and enhancing financial wellness benefits within various labor markets.
