Mukuru is helping reshape South Africa’s predominantly cash-based economy by unlocking access to e-commerce through its partnership with payment gateway Payfast by Network.

For over a year, Mukuru and Payfast have enabled cash-paying South Africans to shop online via MukuruPay (MPay), bringing digital commerce within reach for millions and opening new markets for local retailers across the country.

This partnership addresses a long-standing and often overlooked gap in the digital economy—the exclusion of millions of South Africans who rely primarily on cash. While digital payments continue to grow in popularity, cash remains deeply embedded in many communities. For a significant portion of the population, limited access to banking services, low digital literacy, and mistrust of digital systems make cash the most practical and preferred payment method.

A recent Payfast “State of Pay” report confirms this reality, showing that cash remains the fourth most preferred payment method among South African consumers. It ranks alongside other widely used methods such as cards, QR codes, and instant EFT. Supporting this, the SBV Cash Survey 2024 reveals that 22% of South Africans—more than 13 million people—are cash-reliant, meaning they either cannot or will not switch to alternative payment methods. This segment represents a large and largely untapped market for e-commerce businesses, yet they are often left out of the digital economy.

Mukuru’s partnership with Payfast is helping to bridge this gap by making online shopping more inclusive. Through MPay, South Africans who operate outside of traditional banking systems can now participate in digital commerce, using cash to pay for goods and services from online retailers. In doing so, the partnership is not only expanding e-commerce access but also helping small businesses tap into a previously unreachable customer base.

Throughout 2024, Mukuru observed a steady rise in businesses choosing to enable MPay through Payfast. This increase reflects rising demand across sectors such as digital services, online groceries, fashion, bill payments, internet services, and education. The ease of adoption and wide relevance of the offering make it particularly well-suited to South Africa’s diverse economic landscape.

Timothee Dura, Head of Merchant Payments at Mukuru, emphasises the broader implications of this shift:

“South Africa’s e-commerce cannot accept only cards and digital payment methods like EFTs or wallets. It needs to work for everyone. We are bridging the digital divide by meeting cash-first consumers where they are—offering them convenience and access to goods and services that were previously out of reach with a payment method that is familiar to them. This is how we build a more inclusive financial ecosystem in South Africa.”

For merchants, MPay provides a low-barrier solution to serve customers who have traditionally been excluded from online shopping due to their cash reliance. Merchants registered on Payfast by Network can enable Mukuru as a payment option in their dashboard. Once activated, shoppers select Mukuru at checkout, receive a unique order number valid for 36 hours, and make payment at any of Mukuru’s 11,000+ payment points nationwide—including major retail partners such as Shoprite, Pick n’ Pay, Spar, and Boxer.

Once payment is completed, Mukuru sends a real-time notification to the merchant, triggering order fulfilment. This model supports faster service, lower fraud risk, and reduces the costs associated with cash-on-delivery or cash handling. For retailers, it’s a game-changer.

For consumers, MPay offers a secure and trusted alternative to traditional payment methods. Particularly in rural or underserved areas where logistical challenges and digital exclusion persist, the ability to use cash while still shopping online introduces a powerful level of convenience and economic participation.

“The increasing adoption of MPay on Payfast by merchants reflects our conviction that cash-first customers are critical to South Africa’s e-commerce economy,” Dura adds. “We remain committed to bridging the gap between cash and digital payments, creating safer, regulated, and accessible pathways for unbanked and underserved communities to participate in the formal economy.”

As South Africa’s digital economy continues to evolve, innovations like MPay are showing that financial inclusion and digital commerce don’t have to be mutually exclusive. With Mukuru and Payfast leading the way, millions of cash-first consumers now have a place in the country’s growing online marketplace—no bank card required.