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Safaricom To Expand its Popular M-Pesa to Ethiopia

Safaricom in 'advanced talks' to take M-Pesa to Ethiopia

Safaricom is planning to expand it’s popular M-Pesa to Ethiopia, the dominant telecom in Kenya will allow Ethio telecom, to carry the service, and Safaricom will get a share the profits. Safaricom is in advanced talks with the Ethiopian government to introduce M-Pesa mobile money service, a significant step towards establishing a toe-hold in the market of over 100 million people.

MPesa has not only created employment opportunities in Kenya but also transformed Kenya’s economy. Revenue from M-Pesa in the financial year 2017 was 63 billion shillings, a 14% increase on the previous year.

Launched in Kenya in 2007, MPesa now has over 27 million active users in Kenya and has become a significant driver of profit growth for the giant telecoms provider in Kenya, as revenue from traditional voice and text services has flattened off due to the increase in internet calls.

M-Pesa has over time evolved from an essential money transfer service to a financial platform offering savings, loans and insurance products in conjunction with local lenders.

Britain’s Vodafone, Safaricom’s parent company, will license the use of the M-Pesa trade name to an Ethiopia-based bank while Safaricom will host the servers in Kenya.

Read more on Mpesa GSMA Certification Award

Collins Kipkemboi Korir

Founder & editor of https://TechChains.co.ke |Digital Native,Techie & Tech-savvy| Cyber Security, Software/Network Engineer| Digital Media

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