By Nqobile Dludla

JOHANNESBURG (Reuters) -Visa Inc ( V ) launched its first data centre in Africa on Wednesday, capitalising on the emerging economy's rapid growth in digital payments, company executives said.

Speaking at the launch, Michael Berner, Visa's head of Southern and East Africa, said the facility was part of a 1 billion rand ($57 million) investment in South Africa over the next three years.

"Visa continues to be very committed to the growth of the economy on the continent and building the data centre, which is frankly one of very few that are built outside of our core locations, which are the U.S., the UK and Singapore, is evidence of this commitment," Berner said.

The data centre, in Johannesburg, represents a significant expansion of Visa's global processing network, VisaNet, which powers more than 100 billion transactions annually across 200 countries and territories, the company said.

Africa's digital payments economy is expected to reach $1.5 trillion by 2030, supported by rapid advancements in internet penetration and financial inclusion, according to a 2025 Mastercard-commissioned report by Genesis Analytics.

In South Africa, contactless transactions now account for over 60% of face-to-face payments, according to Berner.

"When we look at South Africa, we really see it as a digital innovator and a digital leader on this continent. So having this data centre here can actually be a launch pad for solutions that we take across the continent," Lineshree Moodley, country manager for Visa South Africa, said.

Moodley told Reuters on the sidelines of the event that the 1 billion rand investment was part of a $1 billion investment in Africa over five years, which was announced in 2022.

Communications Minister Solly Malatsi hailed the data centre as a vote of confidence in South Africa as an investment destination, adding it "reduces the reliance on overseas infrastructure and boosts our national financial sovereignty".

($1 = 17.5638 rand)