Absa Reveals Blockchain’s Quiet Revolution in African Trade & Farming
Africa’s blockchain ecosystem is surging ahead, unlocking new pathways for inclusive economic development across sectors—from financial markets and trade to agriculture and digital identity. This is according to the 2025 Africa Blockchain Report released by Absa Corporate and Investment Banking (CIB), offering a timely assessment as the continent prepares to host its first G20 Summit in South Africa.
In a detailed analysis, Rob Downes, Head of Digital Assets at Absa CIB, highlights blockchain’s transition from a crypto-only focus to a broader tool for transformation. “We’re seeing blockchain emerge as a cornerstone of digital infrastructure,” Downes said, “fueling innovation in credit access, remittances, trade, and even food security.”
The report reveals that blockchain venture capital (VC) investment in Africa has surpassed funding across all other sectors, indicating growing confidence in the continent’s digital innovation potential. As investor appetite strengthens, unique startups are building solutions tailored to African challenges—offering crypto payments, credit scoring for the unbanked, and asset tokenisation to democratise investment access.
One standout trend is the integration of artificial intelligence (AI) and blockchain to improve digital finance. Downes notes that combining traditional data (like bank statements) with digital insights from mobile money and wallets allows institutions to create smarter risk models. “This opens credit access for millions previously excluded from formal finance,” he explained.
The fusion of AI also boosts security, enabling real-time fraud detection and automation of services via smart contracts. According to the report, African banks are already using AI and blockchain to enhance customer service, compliance, and early intervention for at-risk borrowers.
With intra-African trade still underperforming—representing less than 25% of the continent’s total trade—the report highlights how blockchain can streamline cross-border commerce under frameworks like the African Continental Free Trade Area (AfCFTA). By using stablecoins and tokenised trade finance, banks can reduce transaction costs, boost liquidity for SMEs, and advance regional economic integration.
Corporations like Hyundai and DP World are already adopting blockchain to track cargo and carbon emissions, while startups are building transparent, smart contract-driven supply chains that eliminate inefficiencies and paperwork.
Beyond individual products, the report suggests that blockchain could transform financial market infrastructure itself, replacing traditional systems with programmable, secure networks. Real-time monitoring by regulators via blockchain nodes would enable faster, more accurate oversight, while peer-to-peer transactions reduce reliance on intermediaries—making services faster and more affordable.
A newer and promising application of blockchain is in agriculture, where it supports farm-to-fork transparency. Farmers can now log and share data across the entire value chain, helping consumers verify origin and quality. Combined with AI tools, these systems can also improve crop yields and offer smallholders better access to insurance, veterinary care, and credit facilities.
As South Africa prepares to host the G20 Summit, the Absa report aligns with global themes of data governance, sustainable innovation, and inclusive digital growth. Downes urges African institutions to seize this moment to champion blockchain’s most purposeful uses.
“With the right regulatory frameworks and collaborative spirit, Africa can lead the way in using blockchain to drive real-world impact,” he concluded.
