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M-PESA Mulls Joining Nigeria's Mobile Money Market

Mobile Money and Telcos	957 VIEWS
Mobile Money and Telcos
957 VIEWS

Tuesday, September 03, 2019 / 09.00AM/ by News/ Header Image Credit: Wikipedia

In a statement to the press, the interim CEO, Safaricom, Michael Joseph, has hinted to the possibility of M-PESA expanding into Nigeria with a possible partnership with existing telecom operators in the country.

Recent reforms within the Central Bank of Nigeria now permit telecom operators to get mobile money and banking licenses in a bid to boost financial inclusion and facilitate the long-held ambition for a cashless society.

The above changes the entire dynamic of the mobile money industry in Nigeria.

It will be recalled that one of the major Telcos in Nigeria MTN has received license to operate as a payment service bank.

MTN is targeting 3m Nigerians in the rural areas that are unbanked in its quest to deepen financial inclusion, through its mobile technology provisions.

Safaricom a major player in the East African Telco market and mobile money operator, will be considering its prospects in the West African zone with Nigeria as the key driver.

There are indications that Safaricom and its M-Pesa mobile money platform could either partner with a telco firm or even apply for a PSB license.

If it applies for the PSB it could mark interesting competition for the mobile money market in the country.

Safaricom already has a wealth of experience and expertise in driving mobile money and digital banking services.

With the fourth industrial revolution that is driven by digital technology taking shape, there will be enormous opportunities through mobile money and other segments of Fintech.

The likely entry of Safaricom into the Nigerian market will mark a turning point in the Nigerian telecommunications space.

There are reports that Safaricom may partner with MTN, to grow mobile-money service in Nigeria.

If this happens it could emerge one of the most strategic business partnerships in recent times on the African continent.