Key questions this article answers:
  1. What problem does Flutterwave’s new Swap platform solve?
  2. Who are the primary beneficiaries of Swap?

Flutterwave wants to capture more of Nigeria’s FX value chain. It’s popularly known for its peer-to-peer remittance product, Send, which lets users move money globally. With the recent launch of
Swap, it’s betting on local business-to-person FX flows—purchasing FX from banks and Bureaux de Change (BDC).

Today, we analyse the problem Swap wants to solve, how it plans to solve it, and the nagging issues it must overcome to scale.

The problem

Sourcing FX from Nigerian banks is a real pain. If an individual needs FX from a bank for a business trip overseas, they must visit a local branch to complete the Personal or Business Travel Allowance forms (PTA/BTA) two weeks before their flight. Two weeks is the minimum; for First Bank customers, it's four months.

There’s also a limit to how much individuals can access. First Bank and GTBank cap limits are $4,000 per quarter, but due to the persistent