Mitchell Elegbe: From Nigerian Visionary to World Entrepreneurship Hall of Fame
The culmination of Mitchell Elegbe’s 20-year Interswitch odyssey in global acclaim tells the story of a Nigerian visionary who braved the odds to join the world’s Entrepreneurship Hall of Fame. Precious Ugwuzor writes that as the founder of Interswitch Group, Africa’s leading integrated payments and digital commerce company, Elegbe predicted and created a seamless exchange of value and commerce
It was Peter Drucker, one of the most influential thinkers on Management, who said: “The best way to predict the future is to create it.”
For Nigerian-born Mitchell Elegbe, founder of Interswitch Group, Africa’s leading integrated payments and digital commerce company – a prosperous Africa, driven by a seamless exchange of value and commerce, was the future he predicted and chose to create.
A renowned business leader in the African Information Technology and Financial Services industry, Elegbe is recognised for driving revolutionary payment innovation on the continent.
Over the past two decades, Elegbe has evolved from a Lagos-based visionary and business owner into a trailblazer on the African continent – and now a globally recognised entrepreneur, following his recent induction into the Ernst & Young World Entrepreneur of the Year (WEOY) Hall of Fame on Thursday, the 8th of June 2022 at a very colourful ceremony in Monte Carlo, Monaco, South of France. Strikingly, Elegbe stands out from all inductees into the 2023 Class of EY Global Entrepreneurs by being the only black and the only African this year, and uniquely, in the 37-year history of the initiative, the only entrepreneur globally to have ever won the regional competition twice; in emerging and later, master categories.
Born the youngest child in the family, to a widowed mother (following the untimely death of his father just before his birth), he later moved in with his uncle at Aladja, Delta State, who took responsibility for him and became the father figure in his life.
His entrepreneurial journey began while studying Electrical/Electronic Engineering at the University of Benin in Edo State. As a student, he had to make ends meet by engaging in several side businesses, including the sale of audiotapes, and shirts.
His first actual job after his National Youth Service year was as a Field Engineer at Schlumberger Wireline and Testing, Scotland. It was there in Scotland that the idea of Interswitch crystallized in his mind.
According to Elegbe, “In 1998, I was working in Livingston, Scotland, as a young wireline engineer with Schlumberger and an ATM seized my card, leaving me stranded – that’s not a nice feeling. This moment was just one incident among a lifetime of observations about the inconveniences of the payments industry at the time. But it was catalytic, nevertheless.
Soon after, when I returned to Nigeria, I was reawakened to the issue that accessing cash was a social issue. At the time, there weren’t enough bank branches available and the only way one could withdraw funds was to physically go into a bank and wait to be served. This could often take up to three to four hours. The tedious wait times invariably led to clients taking out much more cash than they needed to avoid a repeat journey.
Now, carrying around piles of notes and coins is a cumbersome act, and when you are holding so much of it, available for everybody to see, it is an unfortunate truth that you simply become more prone to a few unfavourable scenarios: theft and, scams.
So, I noted this problem, the issue with accessing cash, but also the problems cash brings. This led me to the realization that cash, in itself, was not the enemy. The challenge which needed to be solved was ensuring people could access cash in the required quantity and when they required it.”
A year later, Elegbe started working with Telnet where he rose to the position of Group Head for Business Development. There, he proposed the idea of a transaction switch to his then-boss and got the blessing to execute it.
Armed with ambition and a relentless drive to solve the numerous problems he had identified in the payment industry, Elegbe came up with the idea to utilize the switching software and take on the nagging challenge associated with accessing cash. Supported by two other young, like-minded visionaries, Akeem Lawal (now Interswitch’s MD for Payment Processing and Switching) and Charles Ifedi (now co-founder of eBanqo), Elegbe founded Interswitch on the 4th of December 2002. The team was backed by the consulting firm Accenture and had received the buy-in of a few banks that raised a portion of the start-up capital.
Indeed, there were many teething problems at the start but with his unwavering commitment to the task ahead, Elegbe’s payment services company quickly gained recognition and trust within the financial services industry in Nigeria, functioning at the core of the digital payments ecosystem, having introduced electronic payments, processing and switching services which disrupted the traditional cash-based payments system.
The reputation of Interswitch’s services spread, attracting a loyal customer base, and establishing a solid foundation for growth. This success fuelled Elegbe’s ambitions, inspiring him to explore new horizons and expand his reach across the African continent to Uganda, Kenya, The Gambia and most recently, Sierra Leone.
In 2009, Elegbe’s Interswitch birthed the Verve card, which was the first-ever chip card accepted across all payment channels in Nigeria.
To realize his vision of expansion, Elegbe’s Interswitch partnered with various organisations such as Visa, Mastercard, AMEX and Discover Global Network and subsequently introduced the Verve Global card, granting customers transaction access in over 185 countries across the globe.
Interswitch has progressively expanded in scale and scope over the years to incorporate consumer financial services through Quickteller, a pioneering digital payments platform linking merchants and billers with consumers, and very quickly, it became the most ubiquitous digital payment platform.
Someone once said that diversification and globalization are the keys to the future. Recognising the importance of adapting his business strategies to cater to diverse markets, Elegbe and his team successfully tailored products and services to meet the unique needs of a myriad of clientele.
“Interswitch is a technology company. Our initial focus was on applying technology solutions to solve payment issues in Africa. Today, we have expanded our focus beyond payments alone and we aim to take tech into every sector of life,” he once said.
It is, therefore, no surprise that Elegbe has expanded his business into the health sector with the acquisition of health tech company, eClat; transportation with Quickteller Transport; Oil and Gas with Quickteller Energy; and Real Estate with Quickteller Homes.
As a business owner, this diversification strategy has not only mitigated risks but has also allowed Interswitch to leverage cross-industry synergies, foster innovation and drive sustained growth. Through a series of strategic partnerships, Interswitch has been able to expand its influence and penetrate sectors that were previously inaccessible.
For Elegbe, it was all about solving real problems and facing challenges head-on. He said: “I learnt early that identifying problems and coming up with their solutions is a sure route to success. From a rather young age, I had resolved to make the best of every situation I face, knowing that crises will always throw up latent opportunities for the most discerning.”
Recently, Elegbe’s Interswitch joined the Africa Tech for Trade Alliance (AT4T), a public-private partnership platform designed to promote the expansion of e-commerce and digital trade in Africa, at the 2023 Africa Tech Summit. This alliance brings together some key global corporations, a selection of the continent’s top tech firms, entrepreneurs, and investors to help accelerate the growth of e-commerce and digital trade with a focus on Africa.
In March this year, Elegbe was named the 2023 West African Entrepreneur of the Year (Masters Category), by professional services firm, Ernst and Young (EY). He was awarded for his laudable contributions as an entrepreneur, to the economic development of Nigeria and the West African region, having distinguished himself in business leadership and technology development.
Interestingly, this recognition came 11 years after he emerged as the Ernst and Young Entrepreneur of the Year (Emerging Entrepreneur category) in 2012.
All these culminated in his induction, along with 48 other entrepreneurs from 45 countries, into the Ernst and Young (EY) World Entrepreneur of the Year (WEOY) Hall of Fame on June 8, 2023, at a ceremony in Monte Carlo, Monaco.
Elegbe was a true representative of, not just Nigeria, but the entire African continent as he was the only black and African global finalist and inductee into the coveted Hall of Fame. He is also the only entrepreneur in the 37-year history of the awards to have won in both the emerging and master categories at various times in their region.
Elegbe was inducted for his laudable contributions as an exceptional African entrepreneur who has contributed largely to the economic development of Nigeria and Africa as a whole, having distinguished himself in business leadership and technology development.
According to EY, the World Entrepreneur of the Year Hall of Fame is an elite corps of men and women who have been recognised for their exceptional entrepreneurial achievements. For more than 35 years, EY has been celebrating ingenuity through the Entrepreneur of the Year programme. The programme has recognised more than 10,000 outstanding entrepreneurs for their vision, innovation, courage, and leadership in building and growing successful businesses — businesses that influence the way people live, the products and services they depend on, and the economic vibrancy of their local communities and global markets.
Elegbe is a people-centric leader who believes in motivating his colleagues to have confidence in their values, while he relentlessly pursues sustainable value for stakeholders. He said: “A founder is only as effective as the team around him or her, and so this award reflects the hard work and dedication of the team at Interswitch who have dedicated themselves to creating solutions that enable individuals and communities to prosper across Africa. This recognition will serve to further entrench our commitment to never stop pushing the boundaries of innovation in a bid to create an Africa where payments are a seamless part of everyday life.”
His sterling leadership abilities have earned him several awards; some of which include Harvard Business School Association (Nigeria) Leadership Award in the General Management Category; African Banker Awards 2019 as the African Banker Icon; CNBC/Forbes All African Business Leader (AABLA) Awards for West Africa as well as Financial Technology (Fintech) Africa Awards, Payments and Transfer category in 2016, among other deserving recognitions.
An Archbishop Desmond Tutu Fellow of the African Leadership Institute, Elegbe enjoys actively mentoring young entrepreneurs, a passion he demonstrates as a member of the board of Endeavor Nigeria, a globally renowned entrepreneurial development initiative.
Last year, as Interswitch celebrated its 20th anniversary, the organisation took the opportunity to renew its commitment to Never Stop pushing the boundaries of innovation as it pushes forges towards its vision of a prosperous Africa, driven by a seamless exchange of value and commerce.
Looking ahead, Elegbe envisions his ventures making even more impact on society. With a focus on sustainable, long-term value for all stakeholders, leading to widespread economic, social, and environmental growth; he aims to spearhead initiatives that address pressing global challenges. By leveraging his entrepreneurial spirit, he hopes to inspire a new generation of business leaders to create a better world through innovation and responsible practices.
