China-based fintech platform XTransfer is accelerating its expansion into Africa after recording more than 300 per cent growth in the region last year, as small and medium-sized enterprises (SMEs) increasingly seek faster and cheaper ways to handle cross-border trade payments, according to a senior leader at the firm.

With trade between Africa and global manufacturing hubs on the rise, the company is positioning its digital payment infrastructure as a solution to barriers that make international transactions slow, complex and expensive for smaller businesses.

Founded in 2017 in Shanghai, XTransfer operates a global B2B cross-border payment platform that enables SMEs to send, receive and manage international trade payments more easily and at lower cost. The platform connects businesses to global banking networks, allowing them to pay suppliers, receive payments from overseas buyers and manage foreign exchange without relying on traditional bank transfer systems.

Speaking with The New Times on March 11 during the third edition of the Inclusive FinTech Forum (IFF) 2026 in Kigali, Neil Ni, Chief Strategy Officer of XTransfer, outlined the company’s strategy for Africa and how new payment technologies could improve cross-border trade for small businesses.

The event focuses on advancing financial inclusion through fintech innovation and partnerships.

Persistent challenges, including costly fees, in cross-border payments

Despite rapid growth in digital financial services globally, cross-border transactions for businesses—particularly SMEs—remain complex and costly in many developing economies.

According to Ni, traditional business-to-business cross-border payments still rely heavily on bank remittances that pass through multiple correspondent banks, creating delays and higher costs.

"Complex procedures, delayed settlements and high transaction costs can severely strain SMEs’ financial health,” he explained.

"Their business depends heavily on the timely circulation of goods and capital.”

Payments processed through conventional banking systems can take five to seven days to settle due to the involvement of several intermediary banks. Fees typically range between three and 5 per cent of the transaction value.

Given that average B2B trade payments range between $15,000 and $20,000, such costs can significantly affect SMEs that often operate on profit margins of around 10 per cent.

"These barriers prompt some SMEs to turn to underground banks and other unlicensed service providers. That raises serious concerns around compliance, transparency, and risk management,” he said.

A fintech model focused on easing costs for SMEs

XTransfer aims to address these challenges by offering cross-border payment services tailored to SMEs engaged in international trade.

XTransfer’s business model is designed to reduce the cost of cross-border payments and foreign exchange transactions for businesses using its platform, according to the company. It indicated that transfers between users on the XTransfer platform are free of charge. When both the buyer and the seller hold XTransfer accounts, the company does not apply any transaction fees for sending or receiving payments.

In cases where either the buyer or the seller does not have an XTransfer account, the platform charges a small flat fee per transaction. As per the company, the fee typically amounts to only a few US dollars, which they say is significantly lower than the charges applied by traditional banks and can reduce remittance costs by as much as 95 per cent.

XTransfer also provides foreign exchange services directly through its platform. Businesses can convert currencies at rates the company says are highly competitive compared with conventional banking services, potentially allowing clients to cut foreign exchange costs by up to 80 per cent.

Ni explained that digital payments generally fall into two categories: B2C payments made by consumers through e-commerce platforms and B2B payments between companies for goods and services.

While B2C payments have become streamlined through platforms linked to companies such as Amazon and Shopify, B2B payments remain largely dependent on traditional banking channels.

"Our model is to provide SMEs with a new way to collect and pay for cross-border trade,” he said.

The company partners with major global banks including JP Morgan, Deutsche Bank, Barclays, HSBC and Standard Chartered, alongside regional financial institutions in emerging markets.

In Africa, XTransfer has collaborated with institutions such as Ecobank and Axis Bank to help connect local banking systems with international trade networks.

Rapid growth and global reach

Demand for simplified cross-border payment solutions has driven rapid growth for the company.

Ni said XTransfer processes about $15 billion in transactions each month while maintaining a year-on-year growth rate close to 100 per cent. The platform serves close to one million SMEs globally, with about 55 per cent of merchants based in China and 45 per cent operating internationally.

The company employs roughly 4,000 people and plans to recruit an additional 1,500 employees as part of its global expansion strategy. It operates in more than 200 markets and serves more than 800,000 corporate clients.

Much of this expansion has been supported by investments in technology, particularly artificial intelligence (AI). Ni said AI-driven systems are used for anti-money laundering checks, Know Your Customer verification and transaction risk monitoring, enabling the company to serve smaller businesses that traditional banks often consider too complex or low-value.

Africa emerges as a key growth market

Africa has become one of XTransfer’s fastest-growing regions.

Ni said the company recorded more than 300 per cent growth across the continent last year, reflecting increasing trade flows between African markets and global manufacturing hubs, particularly China.

Nigeria and South Africa currently generate the highest transaction volumes on the platform due to their larger economies and strong import activity. However, the company is expanding its focus to "second-tier markets,” including Kenya, Tanzania, francophone African countries and Rwanda.

Ni said Rwanda’s role as a regional financial hub and host of the Inclusive FinTech Forum makes it an attractive destination for fintech expansion.

"We are here to understand the regulatory environment and explore how we can work with central banks to provide solutions tailored for SMEs,” he noted.

Simplifying trade payments

A key feature of XTransfer’s approach is its mobile-first platform.

Ni explained that the company has developed an application that allows businesses to upload invoices, logistics documentation and customs forms directly into the system. Automated compliance checks verify transactions, enabling payments to be completed within hours rather than days.

"Our vision is that even a company with fewer than 10 employees or a small family-run business can access treasury services similar to those used by Fortune 500 companies like Apple or Google.”

Expanding services and trade corridors

XTransfer’s long-term strategy extends beyond payment processing. The company is developing additional services aimed at strengthening SMEs’ financial resilience, including wealth management products and working capital lending.

Access to credit remains a major constraint across many African economies, where SMEs often struggle to secure financing due to limited credit histories. Ni said data generated through the platform could eventually help identify qualified merchants and support working capital lending.

The company is also working to strengthen global trade corridors linking Africa with other economic regions. While the Africa–China corridor remains a priority, XTransfer is also exploring payment channels connecting Africa with the Gulf region, Asia and Europe over the next 24 to 36 months.

Ni noted that geopolitical tensions have reduced the share of transactions linked to the United States from 26 per cent of XTransfer’s total volume in the past to less than 10 per cent today.

As a result, the company is increasingly focusing on emerging markets across what he described as the "global south.”

"These markets are where most of the growth is coming from,” he said.

Another initiative under development is the XNet settlement network, which Ni described as a next-generation infrastructure designed to streamline B2B payments globally.

He compared the platform to "a B2B version of Visa or Mastercard,” enabling banks and financial institutions to connect to a shared settlement network that improves transaction efficiency and compliance.

"We have built a very large database of merchants and transactions, which enables us to verify counterparties and reduce risk,” he said.

Ni said engagement with African regulators and financial institutions will remain central to the company’s expansion strategy.

"By working together, we can provide more efficient services for SMEs and help them participate more actively in global trade.”

"Our goal is to help SMEs anywhere in the world manage their money more efficiently and participate in global trade,” Ni said.