East African telecoms operator Safaricom has extended its M-Pesa Global service to Ethiopia allowing customers to make mobile money transactions between Kenya and Ethiopia.
Through this remittance service expansion, the Kenyan-headquartered operator and its Ethiopian subsidiary aim to increase mobile money use and penetration across Ethiopia, boosting local economies and creating opportunities for individuals and businesses across the region.
“Our M-Pesa Ethiopia customers should now be able to receive safe and affordable transfers from M-Pesa Kenya thanks to this collaboration, which will further promote the region’s adoption of digital payments,” Elsa Muzzolini, Safaricom Ethiopia’s chief financial services officer, said during the deal’s signing ceremony.
Muzzolini said the collaboration comes at a time when the National Bank of Ethiopia (NBE) has made foreign exchange policy reforms.
She added that a growing number of Ethiopian diaspora and business owners are embracing digital payments to send money to their loved ones and fund their operations.
Esther Waititu, Safaricom Kenya’s chief financial services officer, agreed that making cross-border transfers more accessible, efficient, and cost effective will empower individuals and businesses across the region.
Esther Waititu, Safaricom Kenya’s chief financial services officer. (Source: Safaricom)
Safaricom believes the expansion of M-Pesa Global to Ethiopia is a significant step towards strengthening financial integration in East Africa and promoting economic growth for the region.
The operator said key beneficiaries of the expanded service will include Ethiopians living and working in Kenya as well as Kenyans living and working in Ethiopia.
Customers in both countries will only require an M-Pesa wallet to make cross-border payments.
In addition to Ethiopia, M-Pesa customers can also send and receive money to over 190 countries.
Safaricom’s growth in Ethiopia
Safaricom became the first non-Ethiopian telecoms operator to launch a network in the Horn of Africa nation in August 2022 when it began rolling out its network in the city of Dire Dawa in the eastern part of the country.
In October 2022, it officially launched its national network in the nation’s capital Addis Ababa and ten other cities.
Safaricom’s popular mobile money service, M-Pesa, went live in Ethiopia in August 2023, three months after Safaricom Ethiopia was given a Payment Instrument Issuer license from the NBE.
By May 2024, Safaricom Ethiopia had 4.4 million 90-day active mobile customers, with a network covering 40% of the population, and M-Pesa had 4.5 million total registered mobile money users in the country.
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Source link : https://www.connectingafrica.com/mobile-money/safaricom-enables-m-pesa-transfers-between-kenya-ethiopia
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Publish date : 2024-10-14 17:26:42
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