Backbase Strengthens Position in Africa with Strategic Acquisition of Kasisto

Backbase, a leading provider of banking technology, has announced the acquisition of Kasisto, a pioneer in agentic artificial intelligence for financial services. This integration brings KAI (Kasisto’s Banking AI) directly into Backbase’s platform, addressing a critical challenge faced by African banks: modernizing legacy IT infrastructure to support digital transformation.

The move aims to help institutions overcome limitations that have hindered AI adoption across the continent. A recent survey by Backbase and African Banker magazine found that 70% of bank executives in Africa cite integrating with existing systems as their biggest barrier to implementing AI solutions.

Addressing a Key Pain Point for African Banks

The challenge stems from many traditional banks operating on outdated core banking systems not designed for modern digital services. This creates silos and makes it difficult to add new technologies without complex integrations.

“We see too many banks build AI in isolated pockets, like chatbots or automation tools, without connecting them to back-office operations,” explained Ayman Daoud, Backbase Vice President of Africa Regions.

How KAI Revolutionizes Banking Operations

KAI’s agentic AI capabilities convert customer inquiries into completed actions—verifying eligibility, applying policies, and triggering workflows end-to-end. This enables:

  • Faster resolutions: Customers get answers without needing to speak to an agent
  • Proactive service: Banks can identify and address issues before they escalate
  • Improved efficiency: Automating routine tasks frees up staff for more complex interactions

The technology has already proven successful in Africa, with deployments at Nedbank and Absa showing significant results—including a 50% reduction in live agent conversations at Nedbank within one year.

Why Africa is Well-Positioned to Lead the Banking Evolution

According to Lance Berks, CEO of Kasisto, “Africa is particularly well positioned to leapfrog Western banks with decades-old core systems.” By integrating purpose-built AI from the outset, institutions can avoid costly retrofits and accelerate their digital journeys.

This acquisition marks a significant step in Backbase’s commitment to empowering African financial institutions with modern technology solutions that meet the evolving needs of customers across the continent.