Fintech is redefining financial access across Africa, providing millions previously excluded from formal banking with the tools to save, borrow, and transact with ease. But, this rapid expansion comes with responsibility: robust regulatory frameworks are critical to protect customers, safeguard financial systems and build lasting trust. Joe Mucheru, JUMO President, shares how we view compliance as a cornerstone of our business model. 

Africa is witnessing a groundbreaking surge in financial technology (fintech) innovation, rapidly unlocking a continent brimming with economic potential. Despite limited traditional infrastructure and a large unbanked population, the combination of widespread mobile phone penetration and a young, tech-savvy demographic has created fertile ground for digital finance solutions. This rapid growth is reshaping access to financial services across the continent.

Unlike traditional banking, fintech moves fast. Products can scale to millions of users within months, creating opportunities but also risks if not properly governed. According to a report by the African Financial Inclusion Policy Initiative (AfPI), without oversight, customers may face predatory lending, unclear pricing, or the misuse of their data.

Strong regulation addresses these challenges in three key ways:

1. Protecting customers by ensuring transparent terms, fair pricing, and responsible lending practices.
2. Strengthening financial integrity by guarding against fraud, money laundering, and system abuse.
3. Building investor confidence by creating predictable environments where capital providers feel secure deploying funds.

For JUMO, operating within clear and robust frameworks is more than a compliance requirement; it’s the basis for building lasting trust with customers and partners. This commitment to responsible innovation was recently recognised with a 92.2% customer protection score from independent assessors Cerise + SPTF, placing JUMO among the leading performers in ethical governance in digital finance. The result reflects the strength of our compliance-by-design approach, the rigour of our data governance, and our focus on ensuring customers engage with financial products that are safe, transparent, and empowering. By embedding these principles into every product, we not only strengthen accountability but also contribute to a more resilient financial ecosystem across Africa.

The regulatory landscape in JUMO markets

Fintech regulation across Africa is evolving rapidly. While each country has its own approach, most frameworks converge on three priorities: consumer protection, data privacy, and responsible credit. Here’s a snapshot of how regulation is shaping up in the countries where JUMO operates:

• South Africa – Regulated under the National Credit Act and supervised by the National Credit Regulator, with the Financial Sector Conduct Authority (FSCA) ensuring fair market conduct. Focus areas include responsible lending, disclosure, and customer fairness.
• Kenya – The Central Bank of Kenya requires all digital lenders to be licensed, with a strong emphasis on transparency, fair pricing, and compliance with the Data Protection Act.
• Uganda – The Uganda Microfinance Regulatory Authority (UMRA), in partnership with the Bank of Uganda, enforces the National Payment Systems Act, strengthening oversight of microfinance institutions and digital credit providers while ensuring customer protection through a comprehensive regulatory framework for the entire financial sector.
• Tanzania – The Bank of Tanzania regulates payment service providers and mobile lenders, ensuring financial inclusion advances without compromising stability.
• Ghana – Under the Payment Systems and Services Act, the Bank of Ghana licenses fintechs and electronic money issuers, with a focus on consumer safety and system integrity.
• Zambia – The Bank of Zambia has introduced rules for e-money issuance, anti-money laundering, and risk management, creating a clear framework for digital lenders.
• Côte d’Ivoire – Supervised by the Central Bank of West African States (BCEAO), the regulation covers mobile money, credit disbursement, and customer protection across the region.

This patchwork of systems reflects Africa’s regulatory diversity but also underscores a shared recognition: fintech’s role in financial inclusion must always be balanced with strong safeguards.

JUMO’s approach: compliance by design

At JUMO, regulation isn’t something we respond to after building products; it’s integrated into the design process from the start. Every product we launch is built to align with national laws, customer protection standards, and international best practices.

Key elements of our approach include:

• Collaboration with regulators – Open dialogue with central banks, financial authorities, and policy bodies allows us to adapt quickly to regulatory updates and contribute constructively to industry development.
• Localisation – Regulations are never one-size-fits-all. By hiring local teams and working closely with in-market partners, we ensure products meet both the letter and spirit of national rules.
• Data governance – Our systems comply with both local laws and international standards like GDPR, safeguarding customer data and ensuring responsible use.
• Fair and transparent lending – Pricing, terms, and repayment schedules are communicated clearly, with products designed to prevent over-indebtedness.

This compliance-first model not only reduces risk but also strengthens the trust that underpins long-term customer relationships.

Going beyond compliance: safeguarding customers

Regulation sets a baseline, but at JUMO, we aim for even higher standards.

Our mission, in collaboration with our partners, is to create financial products that are not only compliant but beneficial to the people who use them.

To achieve this, we:

• Design responsibly – AI-driven credit models assess capacity in real time, tailoring loan sizes and repayment terms to each customer’s situation.
• Promote financial health – By ensuring customers can borrow within their means, we reduce defaults and help people build sustainable credit histories.
• Prioritise transparency – Customers receive clear information before they transact, supporting informed financial decisions.
• Close the feedback loop – Customer feedback is collected and analysed to refine products and ensure they remain relevant and responsible.

These steps extend beyond regulatory compliance, reflecting our belief that financial inclusion must always be coupled with financial protection.

Looking ahead: evolving with regulation

African regulators are moving quickly to keep pace with fintech innovation, and JUMO welcomes this progress. As cross-border payments, embedded finance, and AI-driven credit scoring continue to evolve, regulation will play an increasingly important role in shaping safe and sustainable growth. By embedding compliance into operations, maintaining open partnerships with regulators, and safeguarding customers at every step, JUMO is positioned not only to navigate this landscape but to help shape it.