In a groundbreaking achievement, the renowned mobile money platform M-Pesa has successfully processed a staggering transaction value of US$364.8 billion over the past twelve months. This notable increase of 13% further establishes M-Pesa as the leading force in the African fintech sector.
M-Pesa, jointly owned by Vodacom Group and Safaricom, has emerged as Africa's most prosperous mobile money platform, proving to be a vital revenue stream for both telecommunication giants. Today, Vodacom Group unveiled its annual performance report for the fiscal year that ended in March, revealing a remarkable surge of 31.1% in international M-Pesa revenue, reaching an impressive R6.5 billion. This growth accounted for 24.6% of the overall service revenue. Shameel Joosub, the CEO of Vodacom Group, attributes this remarkable success to several factors. Notably, M-Pesa's exceptional performance in the Democratic Republic of Congo (DRC) played a significant role, while Tanzania experienced a recovery due to the reduction of levies on mobile money throughout the year.
Joosub emphasized the underlying momentum of M-Pesa, highlighting ongoing product enhancements in both the consumer and merchant segments. In the consumer segment, M-Pesa introduced new insurance, term-loan, and group-savings products. Additionally, the platform scaled international money transfers and enhanced its M-Pesa app. Joosub also noted the impressive growth in Tanzania's lending product, 'Songesha,' with loans granted surpassing R8.2 billion in the fiscal year. To expand and diversify the M-Pesa ecosystem further, the company more than doubled the number of active merchants to an impressive 196,000. Furthermore, Joosub expressed his enthusiasm regarding the operating license granted to M-Pesa in Ethiopia just last week. He referred to it as a significant milestone for Vodacom Group, emphasizing their ambition to transform lives in Ethiopia by connecting every Ethiopian to the global digital economy.
M-Pesa's success story began in Kenya in 2007, and it has since evolved into a vital driver of financial inclusion, boasting more than 50 million customers across seven countries. With over 61 million transactions processed daily, M-Pesa firmly holds the title of Africa's largest fintech provider. The platform's immense popularity has even attracted 42,000 external developers to create additional services, further enriching the M-Pesa ecosystem.
M-Pesa's extraordinary accomplishments in the fintech realm underscore its unwavering commitment to revolutionize financial services and bridge the gap of financial inclusion across Africa. With its robust performance and relentless pursuit of innovation, M-Pesa continues to redefine the digital payment landscape on the continent.
Top of Form