TechPression

Tag: M-PESA

  • M-PESA and LakiPay bring enhanced digital payments to Ethiopia

    M-PESA and LakiPay bring enhanced digital payments to Ethiopia

    Safaricom M-PESA and LakiPay Financial Technologies have announced a strategic partnership to enhance digital payment services in Ethiopia. The collaboration, announced on Monday, integrates M-PESA with LakiPay’s payment gateway, allowing merchants on the LakiPay platform to accept M-PESA payments seamlessly.

    Read also: Safaricom’s M-PESA celebrates 18 years of providing financial services to Africans

    M-PESA, LakiPay: simplified payments, digital growth

    The integration of M-PESA with LakiPay’s payment gateway is designed to simplify transactions for merchants and consumers, broaden financial access, and fuel Ethiopia’s rapidly expanding digital economy.

    Elsa Muzzolini, CEO of Safaricom M-PESA Mobile Financial Services, emphasised the company’s commitment to empowering businesses and individuals with secure and convenient digital payment solutions.

    “This partnership with LakiPay strengthens our efforts to drive financial inclusion and digital transformation in Ethiopia by providing more options for seamless transactions,” she stated.

    Habtamu Tadesse, Founder and CEO of LakiPay Financial Technologies S.C., highlighted the efficiency this partnership brings to merchants. “By working together with Safaricom M-PESA, we are enabling merchants to integrate mobile payments into their businesses more efficiently. This partnership is a testament to our shared vision of making digital transactions more accessible and reliable for businesses and consumers alike,” he said.

    Read also: MTN Group reports 15% decline in revenue due to Nigeria’s currency devaluation, Sudan conflict

    Partnership Boosts digital financial services adoption in Ethiopia

    The partnership marks a pivotal moment in Ethiopia’s journey toward a cashless economy. By enabling additional payment acceptance points, the collaboration seeks to accelerate the adoption of digital financial services nationwide.

    With this connectivity, more businesses may use mobile money, lowering cash use and enhancing customer service.

    Safaricom M-PESA aims to accelerate the adoption of digital financial services and support Ethiopia’s national digital economy goals by expanding payment acceptance points.

    With this partnership, Safaricom is extending its footprint in Ethiopia’s growing digital economy. It was the first non-Ethiopian telecoms operator to enter the market in August 2022. By the end of 2024, the number of M-PESA users on Safaricom Ethiopia’s network had surged to 10.8 million, up from 3.1 million in December 2023.

  • Swiss-based Centi partners with Yellow Card for seamless, low-cost transfers to 20 African nations

    Swiss-based Centi partners with Yellow Card for seamless, low-cost transfers to 20 African nations

    On March 7, 2025, Swiss fintech company Centi announced a strategic partnership with Yellow Card, Africa’s largest licensed stablecoin on/off-ramp, to revolutionise remittances from Europe to Africa.

    Millions of recipients throughout the continent will benefit from faster, less expensive, and more secure transactions, thanks to our partnership.

    Read also: Hurupay launched stablecoin-based USD accounts for African freelancers, remote workers

    Centi expands African money transfer network to 20 countries

    The partnership allows Centi’s users in Switzerland to send money to 20 African countries, expanding its presence from eight countries previously.

    This collaboration enables users to convert their funds into cryptocurrencies and store them in non-custodial wallets before transferring money to recipients in local currencies. The integration with Yellow Card’s crypto-fiat gateway facilitates seamless cross-border transactions.

    “For too long, migrants have been forced to accept terrible exchange rates and hidden costs that take from their families,” said Bernhard Müller, CEO of Centi. “We are not just another remittance provider; we are here to disrupt a highly inefficient system, thus empowering senders to save”.

    Centi-Yellow Card: huge savings on transfers

    The Centi-Yellow Card partnership offers transfers up to 85 per cent cheaper than traditional providers. For instance, sending CHF 100 now costs as little as CHF 2, compared to CHF 15 charged by other providers. This partnership covers over 350 million mobile money users across Africa via platforms like MTN, Airtel, and M-Pesa and supports direct transfers to over 100 African banks.

    “This partnership transforms remittances from Switzerland to Africa by eliminating hidden costs and high exchange rates,” said Chris Maurice, CEO of Yellow Card. “By integrating with Centi, we are expanding our footprint, enabling stablecoin-based transfers to Africa that are instant, transparent, and secure for millions of recipients across the continent”.

    Read also: Busha launches cNGN: Nigeria’s private-sector stablecoin for fast cross-border transactions

    Centi | Yellow Card

    Centi is a Swiss-based micropayment platform that leverages blockchain technology to facilitate fast and cost-effective digital transactions. It focuses on enabling seamless crypto-to-fiat payments, making it easy for businesses and consumers to use cryptocurrency for everyday purchases without worrying about volatility. Centi also integrates with point-of-sale (POS) systems, allowing merchants to accept crypto payments while receiving fiat currency.

    Yellow Card is a cryptocurrency exchange and payment platform operating primarily in Africa. Founded in 2016, it provides a simple way for users to buy, sell, and store cryptocurrencies like Bitcoin, Ethereum, and USDT using local currencies. Yellow Card focuses on financial inclusion, making crypto accessible through mobile money, bank transfers, and cash deposits. The company has expanded across multiple African countries, helping users send and receive remittances affordably through crypto.

  • Safaricom’s M-PESA celebrates 18 years of providing financial services to Africans

    Safaricom’s M-PESA celebrates 18 years of providing financial services to Africans

    Today, March 7, 2025, marks the 18th anniversary of the inception of Safaricom’s mobile money service, M-PESA, in March 2007.

    Currently, M-PESA serves more than 70 million clients in more than 170 countries worldwide. In Kenya, Ethiopia, Tanzania, Mozambique, the Democratic Republic of the Congo, Lesotho, Ghana, and Egypt, the mobile financial services company already has over a million businesses and agents.

    Additionally, the service’s Daraja platform, which is home to over 100,000 developers, enables over 55,000 connectors.

    The platform is Africa’s largest financial solution, processing around 100 million transactions daily with its current 4000 transaction per second capacity.

    Millions of people are able to conduct quick, safe, and dependable financial transactions with their mobile phones thanks to this mobile money transfer and payment solution’s accessibility and universality.

    Read also: Kenya’s I&M Bank opens new branch in Mtwapa

    M-PESA’s initiatives 

    In celebration of its 18th anniversary, M-PESA has launched a number of nationwide initiatives to involve the ecosystem’s stakeholders, including consumers, investors, communities, technology partners, staff members, authorities, and the media.

    The ad will also be used as a means of assuring M-PESA users of Safaricom’s dedication to offering them a worry-free, secure, and safe financial ecosystem.

    “In the last 18 years, M-PESA has transformed the lives of millions of customers, empowering them with useful and affordable financial services. With increasing smartphone usage across the continent, we are transitioning to be a digital financial services provider connecting customers and businesses to opportunities and powering their growth through our tech-powered solutions,” said Dr. Peter Ndegwa, CEO, Safaricom PLC.

    M-PESA has established itself as a digital financial services provider as more people throughout the continent switch to smartphones, 3G, and 4G broadband.

    M-PESA’s Super App

    With a business proposition called the M-PESA Business software, M-PESA Africa introduced the M-PESA Super App in 2021.

    This software allows any company on the service to operate a virtual shopfront and offer their services via M-PESA Mini apps.

    With the quadrupling of M-PESA’s services over the last 20 years, financial inclusion has fuelled the growth of the national economy.

    Read also: Khula raises R126 million to transform South African AgriTech

    M-PESA’s Ziidi Money Market 

    With the goal of increasing clients’ wealth, Safaricom introduced the Ziidi Investment platform with Ziidi Money Market Fund as part of the 18th anniversary celebrations. The fund currently has over a million opt-ins and is about to offer Shariah-compliant investments.

    Utilising the ease of M-PESA, Ziidi offers users a quick, easy, and more intelligent way to invest and increase their wealth. Esther Waititu, Chief Financial Services Officer at Safaricom, stated that the business is expanding the M-PESA platform to accommodate more digital services, expedite the creation of new products, and attain more stability and dependability.

    “M-PESA’s future success will be based on its ease of use and its seamless integration with other services and products to give customers a comprehensive suite of financial services at their fingertips. M-PESA represents the future of mobile financial services across the continent,” said Esther Waititu, Chief Financial Services Officer, Safaricom

    M-PESA anticipates commemorating many more anniversaries with its employees and clients in the years to come as it keeps coming out with new and innovative goods and services.

  • Safaricom’s M-PESA Ethiopia crosses 10.8 million subscribers as revenue declines by 74%

    Safaricom’s M-PESA Ethiopia crosses 10.8 million subscribers as revenue declines by 74%

    According to Safaricom Ethiopia, the number of registered M-PESA users increased by 245 percent to 10.8 million as of December 2024, from 3.1 million in December 2023. Cross-border money transfers and airtime purchases were the main drivers of this rise.

    The total revenue of M-PESA decreased by a staggering 74 percent to roughly $75,969 in the nine months preceding December 2024, from roughly $297,674 in the same time in 2023, despite the increase in the number of customers.

    While transaction volume rose by 1,023 percent to 124.8 million transactions, the overall transaction value dropped by 30 percent to around $113.95 million.

    Read also: Safaricom and KBA push for unified digital payment system with Pesalink

    In August 2023, Safaricom extended its M-PESA Global service to Ethiopia, enabling cross-border money transfers with M-PESA. Interestingly, M-PESA accounted for around 20 percent of airtime top-ups, in contrast to Kenya’s penchant for using the platform for merchant payments and cash transfers.

    M-PESA’s notable advancements in Ethiopia’s mobile money industry 

    Safaricom noted notable advancements in Ethiopia’s mobile money industry since the introduction of M-PESA in its quarterly report.

    In December 2024, the average revenue per user increased by 13 percent to over $1.00, while the number of 90-day active consumers increased by 64 percent year over year to 7.1 million.

    Mobile data accounted for 76.4 percent of the total service revenue, or roughly $37.32 million, which increased by 79 percent to approximately $48.84 million. Voice income rose 28 percent year over year to about $6.74 million, while messaging revenue doubled to about $471,000.

    Read also: Safaricom seeks approval for submarine cable to rival Starlink in Kenya

    The average data consumption per chargeable client increased from 3.6GB in Q3 FY24 to 6.6GB in Q3 FY25, representing an 82.6 percent increase, and the number of one-month active mobile data consumers jumped by 141 percent year over year to 4.4 million.

    While merchants climbed by 177 percent to 119,500, M-PESA agents increased by 17 percent to 29,200.

    To reach 55 percent coverage by June 2025, the business plans to deploy 3,101 base stations, which now cover 48.5 percent of Ethiopia’s population.

  • Airtel Money’s market share increases as Safaricom’s M-PESA market share declines

    Airtel Money’s market share increases as Safaricom’s M-PESA market share declines

    According to industry figures published on Friday by the Communications Authority (CA), Airtel Money‘s market share increased somewhat from 6.6 per cent in the last quarter of 2023/2024 to 7.6 per cent in the three months leading up to September 2024.

    In the mobile money industry, Safaricom’s M-Pesa remained the market leader, but its market share decreased slightly from 93.4 per cent in June 2024 to 92.3 per cent in September 2024.

    Read also: Airtel Money introduces ‘Paybill Rudishiwa’ to give back 50% transaction fees as airtime

    Safaricom’s M-PESA maintains lead 

    With a 65.7 per cent market share in mobile sim subscriptions, Safaricom continues to lead the industry, while Airtel holds a 29.6 per cent share. Both networks saw a minor decimal increase in market share over the previous quarter.

    With 2.1 per cent of the market, Finserve (Equitel) mobile sim subscriptions surpassed both Jamii Networks and Telkom Kenya, while its competitors had 1.7 per cent and 0.9 per cent of the market, respectively.

    According to the Q4 2023/2024 CA figures, Jamii’s market share has not changed, while Telkom and Equitel have similar 2.1 per cent market shares.

    In September 2024, Kenya’s total number of mobile money subscribers surpassed 40 million, up 2 per cent from 39.8 million in June 2024.

    There were 365,432 mobile money agents nationwide in September of last year, up 5.1 per cent from 347,699 in June 2024.

    Read also: Airtel Africa enlists Simi, Fally Ipupa, Diamond Platnumz to promote #SmartaWithData campaign

    68 million mobile phone devices connected to mobile networks 

    According to the most recent data, there were 68.1 million mobile phone devices linked to mobile networks, representing a 132.2 per cent penetration rate.

    With a 72.6 per cent penetration rate, smartphones were the most popular, followed by feature phones with a 59.6 per cent penetration rate.

    In Kenya, mobile money services continue to be essential to operators’ revenue growth.

    Due to higher user usage, M-Pesa’s sales jumped 16.6 per cent to KSh 77.2 billion in the six months ending in September, according to Safaricom’s half-year results.

    There are already 266,070 M-Pesa agents nationwide. The sector has enormous growth potential, as seen by the 31.4 per cent growth in mobile money in Airtel’s East African operations in the most recent financial report.

    There were an estimated 90,000 Airtel Money agents in Kenya at the end of 2024. To increase its reach, the service also considered important alliances with big-box stores such as Moja Motorway and Naivas.

  • Safaricom’s M-PESA officially launches Ziidi Money Market Fund in Kenya

    Safaricom’s M-PESA officially launches Ziidi Money Market Fund in Kenya

    On Tuesday, Safaricom, in collaboration with two fund managers, Standard Investment Bank and ALA Capital Limited, announced the formal launch of Ziidi MMF, a money market fund that uses M-PESA’s convenience to give clients an easier, quicker, and more intelligent way to invest and build wealth.

    Ziidi MMF is a unit trust that allows users to invest money from their M-PESA wallet into their Ziidi account and receive daily interest. Interest accruals are deposited into the investor’s Ziidi wallet, enabling their funds to increase in value.

    Read also: Safaricom M-PESA partners with Awash to enhance digital payment in the insurance industry

    Customers can use the product to manage, build, and control their wealth and finances by making free deposits and withdrawals through their M-PESA wallet.

    The Ziidi Money Market Fund has more than 450,000 opt-ins and more than KES 2.85 billion in assets under management since it opened to the public in December 2024.

    The Capital Markets Authority (CMA) regulates the fund, which is run by a group of fund managers. The launch demonstrates Safaricom’s dedication to promoting financial inclusion by making wealth creation and investing easy and available to everybody.

    “Ziidi MMF is part of our continued efforts to diversify M-PESA beyond payments and deepen financial wellness. “Ziidi ni Ziidi” introduces the mindset that a little goes a long way, and any kind of growth is valuable. This empowers people to define prosperity on their own terms, and make wealth creation achievable to all,” said Dr. Peter Ndegwa, CEO Safaricom PLC.

    How to start investing 

    Customers can use the M-PESA App or USSD to opt into Ziidi MMF by simply dialling the short code *334*5#. Once they have done so, they can begin investing right away.

    While there is no maximum investment limit in Ziidi MMF, there is a daily M-PESA transaction limit of KES 500,000 and a per-transaction limit of KES 250,000. Ziidi MMF gives customers visibility of the daily interest rate earned, making investing and growing money easy, transparent, and worry-free.

    Understanding the value of flexibility, Ziidi MMF allows users to manage their money as they see fit by providing free deposits to their Ziidi MMF account and withdrawals into their M-PESA wallets.

    With as little as KES 100, clients can opt in and begin their investment experience on Ziidi MMF.

    “As we launch Ziidi MMF, we are making an invitation to every Kenyan, irrespective of their financial standing, to take the first step towards wealth creation. Together, let’s embrace this responsibility and let Ziidi MMF be the catalyst for a future where every Kenyan has the means to wealth creation in their own way,” concluded Dr Ndegwa.

    Read also: Fresh crisis erupts between Genghis Capital and Safaricom over M-Pesa-backed unit trusts

    Fund Managers express enthusiasm over partnership with Safaricom 

    “We are excited to partner with Safaricom as a fund manager for Ziidi Money Market Fund. Our commitment to investors is that we will strive to offer them exceptional profits to help them achieve their financial goals. Based on our track record of providing above-market-average returns, I am confident in our ability to deliver this promise,” said James Wangunyu, SIB’s Founder & Managing Director.

    “By combining our institutional synergies with Safaricom, we hope to provide an attractive investment portfolio, which will, in turn, enhance financial inclusion among low- and mid-income earners in line with the government’s bottom-up economic transformation agenda,” he added.

    “Ziidi MMF represents not just an opportunity for financial growth, but also a reflection of Safaricom’s commitment to innovation, responsible investing, and creating long-term value to its investors. This solution ensures that every Kenyan can achieve their financial goals while enjoying the flexibility of managing their investments directly through their mobile devices,” said Sean Gichuru, ALA’s Chief Investment Officer.

    “At ALA Capital, we believe that success is not just measured by financial returns, but by the positive impact we create in our community and the world around us. We are humbled and honoured to be a part of this historical journey that aims to provide a unique investment experience,” Mr Gichuru added.

    Additionally, customers can choose to lock their money to prevent unforeseen withdrawals.

    Apart from the Ziidi Money Market Fund, Safaricom intends to develop and create additional solutions to meet the diverse demands of its clients in order to guarantee their financial stability and security.

  • Safaricom M-PESA partners with Awash to enhance digital payment in the insurance industry

    Safaricom M-PESA partners with Awash to enhance digital payment in the insurance industry

    Awash Insurance, the top private insurance provider in Ethiopia, has partnered with Safaricom M-PESA to integrate its services into the M-PESA payment platform.

    The partnership, which was announced on Thursday, will allow Awash Insurance to provide its clients with safe, effective, and convenient mobile payment options for insurance-related transactions, allowing them to pay premiums and other insurance-related transactions directly through M-PESA.

    Read also: Safaricom partners with JICA, Lersha, Hibret Bank to empower 10,000 Ethiopian farmers

    This development is expected to revolutionise how Ethiopians interact with insurance services by improving payment speed, security, and accessibility while also assisting in the wider adoption of mobile financial services throughout the nation.

    “By integrating M-PESA’s secure platform into the operations of Awash Insurance, we are simplifying the way businesses and customers interact, making mobile payments more accessible, efficient, and time-saving for everyone. We are confident this partnership will enable Awash Insurance to offer its customers a seamless experience for making insurance payments and streamline its operations by leveraging M-PESA’s mobile payment solutions,” said Elsa Muzollini, CEO of Safaricom M-PESA.

    Partnership to enhance financial inclusion and provide seemless digital payment solutions 

    Being the top private insurance provider in the nation, Awash is enthusiastic to work with M-PESA to provide an extra payment option and update the way their clients communicate with them.

    Mr. Jibat A. Faji, CEO of Awash Insurance said, “As the leading private insurance company in the country, we are excited to partner with M-PESA to modernise how our customers interact with us and to offer an additional payment option. This collaboration represents a significant milestone in our journey to enhance financial inclusion and provide seamless digital payment solutions to our valued customers.”

    He adds, “By integrating M-PESA’s trusted mobile payment platform, we are making insurance services more accessible, efficient, and convenient for everyone, as the digital era demands tailored services without complications. Together, we are not just improving transactions; we are also contributing to the realisation of Digital Ethiopia by fostering innovation and empowering our customers with the tools to secure their futures in a digitally connected world.”

    Read also: Nyala Insurance S.C. to boost Ethiopia’s digital insurance payments with Safaricom’s M-PESA

    Strategic digital transformation plan

    This collaboration supports Awash’s strategic transformation plan, which highlights the importance of having real-time, efficient, and accessible products and services.

    “We have been investing in cutting-edge systems and communication technology that save our customers time and money. This collaboration is a testament to our commitment to transforming our services and ensuring our customers can rely on us,” Mr. Jibat A. Faji, CEO of Awash Insurance emphasised.

    By working closely with local companies like Awash Insurance, Safaricom M-PESA is enabling Ethiopian businesses and consumers to engage more fully in the digital economy by providing flexible, secure, and convenient payment solutions.

    Safaricom M-PESA is dedicated to supporting Ethiopia’s digital transformation by utilising its experience and partnering with local companies to provide customised digital financial services that satisfy the changing needs of Ethiopian consumers and businesses.

    This partnership further strengthens the company’s mission to expand digital financial services throughout the nation.

  • Fresh crisis erupts between Genghis Capital and Safaricom over M-Pesa-backed unit trusts

    Fresh crisis erupts between Genghis Capital and Safaricom over M-Pesa-backed unit trusts

    A fresh crisis is looming between investment bank Genghis Capital and Safaricom regarding M-Pesa-backed unit trusts, following a fallout over the launch of Safaricom’s new Ziidi Money Market Fund with new partners.

    Meanwhile, Safaricom’s previous Mali fund, developed in collaboration with Genghis, has amassed Sh3.1 billion in assets.

    Read also: M-PESA makes waves in Kenya with 34 million users milestone

    Genghis Capital accuse Safaricom of business fraud

    Genghis Capital has accused Safaricom of business fraud, claiming customer misdirection and a data breach in a protest letter filed on December 3.

    Safaricom’s recently approved Ziidi fund collaboration with Standard Investment Bank, ALA Capital, and Sanlam Investments is at the heart of the dispute, while Mali, which was introduced in 2019, is still in the experimental stage.

    In defence of the new fund, Safaricom argues that delays in the Mali fund’s debut were due to Genghis’s unreliable technical platform.

    The Mali fund, the 17th-largest collective scheme, has made Sh1.5 billion in investments in fixed deposits and Sh595.9 million in government securities, generating Sh11.6 million in revenue for Safaricom.

    Read also: Safaricom launch Ziidi Money Market Fund amid dispute over Mali’s ownership

    Background of the Safaricom, Genghis Capital crisis 

    Techpression reported last month, Safaricom launched the Ziidi Money Market Fund in collaboration with Sanlam Investments East Africa, ALA Capital Limited, and Standard Investment Bank (SIB), effectively sidelining its original partner, Genghis Capital Ltd.

    In 2019, Safaricom teamed up with Kenyan investment bank Genghis Capital to create its first Money Market Fund (MMF), Mali. However, a fallout occurred between the two after Safaricom’s plan to incorporate three additional fund managers into the Mali MMF.

    As a result, Safaricom formed a new partnership with Sanlam, ALA Capital, and SIB to develop the Ziidi MMF, positioning it as a direct competitor to Mali.

    Both MMFs are integrated with M-Pesa, Safaricom’s mobile money platform.

  • M-PESA makes waves in Kenya with 34 million users milestone

    M-PESA makes waves in Kenya with 34 million users milestone

    M-PESA, Safaricom’s mobile money platform, has reached 34 million Kenyan users, marking a new milestone. The platform, which will mark its 18th anniversary in March 2025, has evolved from a basic mobile payment service to a comprehensive financial solution that provides insurance, investments, savings, and credit.

    “We are immensely proud to reach 34 million M-PESA customers in Kenya,” said Safaricom CEO Dr. Peter Ndegwa. “This accomplishment underscores our dedication to deliver frictionless, always on and secure financial services to our customers.”

    A nationwide network of over 300,000 agents supports the platform’s enormous reach, guaranteeing that financial services are available even in distant locations.

    Read also: M-Pesa and Dahabshiil team up for the Ethiopian remittance market

    M-Pesa’s insurance solutions support 1.5 million enterprises 

    The platform’s ongoing development is demonstrated by recent advancements.

    M-PESA has just obtained an insurance intermediary licence to provide complete insurance solutions, and it currently supports over 1.5 million enterprises through merchant payment methods.

    M-Pesa’s Ratiba to settle recurring debts

    M-PESA Ratiba, a new mobile money standing order solution, was introduced in October.

    Over 1 million opt-ins and over 260,000 transactions were made possible by the functionality in just one month.

    Customers can use this feature to settle recurring debts on a weekly, monthly, or annual basis or to send money automatically.

    Additionally, the platform created the Daraja platform, which allows companies to use APIs to incorporate M-PESA services into their point-of-sale systems, mobile apps, and websites.

    In addition to supporting over 40,000 integrations, this has fostered a sizable developer community of over 90,000.

    M-Pesa contributing significantly to Kenya’s economy 

    In addition to these developments, the mobile money service has significantly increased economic opportunities for millions of Kenyans by propelling financial inclusion in the country from 26.7 percent in 2006 to 83.7 percent in 2021.

    The network operator has gone above and beyond to engage its consumers by offering prizes and resolving their problems throughout various regions of Kenya, as evidenced by the continuing Sambaza Furaha na Safaricom Caravan, which is presently on its fourth regional tour.

    The M-PESA platform is key to Safaricom’s strategic objective to become Africa’s premier purpose-led technology firm by 2030, as it transforms Kenyans’ access to economic possibilities and financial management.

    Read also: Safaricom launch Ziidi Money Market Fund amid dispute over Mali’s ownership

    All you need to know about M-Pesa

    M-PESA was introduced by Safaricom in 2006. The product is called M-PESA since “Pesa” is the Swahili word for money and the “M” is for mobile. The service has grown rapidly since launch, and is currently used by over 34 million subscribers.

    M-PESA is an SMS-based system that enables users to deposit, send, and withdraw funds using their mobile phone. Customers do not need to have a bank account and can transact at any of the country’s over 300,000 agent outlets.

    Registration and deposits are free and most other transactions are priced based on a tiered structure to allow even the poorest users to be able to use the system at a reasonable cost. Transaction values are typically small, ranging from five dollars to USD 30.

    The service was initially developed by the Vodafone Group which owns a 40 percent stake in Safaricom and the six months pilot phase of the project was partly funded by the UK Department for International Development.

    The current arrangement between Safaricom and Vodafone Group is a revenue share model where Safaricom controls the on-the-ground operation of the product and Vodafone Group manages the development and delivery of the technical service.

    An M-PESA Holding Company Limited was registered for the launch of the service and is controlled by directors that are independent of Safaricom Limited. This company acts as a trustee for M-PESA customers and holds all funds from the M-PESA business in trust to ensure that those funds are safeguarded at all times.

    M-PESA was the first product of its kind to be introduced in Kenya and is generally viewed as a successful implementation that should be used as a model for other developing countries.

  • Safaricom, Thunes partner to simplify payments for Kenyans, Tanzanians visiting China

    Safaricom, Thunes partner to simplify payments for Kenyans, Tanzanians visiting China

    Safaricom and Vodacom Group‘s mobile money joint venture, M-Pesa Africa, has teamed up with international payment company Thunes to make payments easier for mobile money customers visiting China.

    Through the M-Pesa Super App, the partnership will enable consumers in Kenya and Tanzania to pay Chinese retailers using their M-Pesa wallets.

    Safaricom clients in Kenya and Vodacom customers in Tanzania will soon be able to scan to pay at Chinese businesses without having to convert money, according to a post on X from M-Pesa Africa on Friday.

    Read also: Safaricom launch Ziidi Money Market Fund amid dispute over Mali’s ownership

    The post reads, “We are excited to announce that we are expanding our partnership with @ThunesPayments and in coming months, @SafaricomPLC customers in Kenya and @VodacomTanzania customers in Tanzania will be able to scan to pay at Chinese merchants from their M-PESA Super App.”

    https://x.com/MPESAAfrica/status/1862510475554038029?t=wOCBs46SDh5XqCiJZMzwBw&s=19

    Partnership with Alipay and WeChat to simplify payment services 

    Their M-Pesa accounts will be used to make the payments. According to the company, M-Pesa customers have previously faced difficulties making purchases in China because many retailers only accept local cashless payment systems like Alipay and WeChat Pay.

    “For long, travellers to China have struggled to make payments as millions of businesses in the country only accept local cashless payments,” it added.

    M-Pesa has already partnered with WeChat Pay and Alipay to make remittance payments to China easier.

    It is anticipated that M-Pesa users travelling overseas will have a better payment experience, thanks to the extended partnership with Thunes.

    “With this partnership, customers will not need to make Forex conversions as payments will be made directly from their M-PESA account, providing unparalleled convenience whenever they travel to China,” the company emphasised.

    Read also: Celebrating 24 years: Safaricom’s caravan campaign rewards communities with early Christmas gifts

    Cross-border payment services between Kenya and Ethiopia 

    Customers can now transfer money between Kenya and Ethiopia using Safaricom’s M-Pesa Global service, which was expanded to Ethiopia in October 2024.

    To make cross-border payments, customers in both nations will simply need an M-Pesa wallet.

    Customers of M-Pesa can send and receive money to more than 190 countries in addition to Ethiopia.

    To facilitate remittance flows in Ethiopia, Safaricom, the parent firm of M-Pesa, also inked an international money transfer deal with Onafriq in March 2024.