Kenya’s communications giant company Safaricom is reaping big in the neighboring Ethiopia as the number of M-Pesa subscribers has tripled in the last one-year indicating increased adoption of mobile money services in the country.
By the beginning of 2024, a total of 3.1 million had adopted M-Pesa as a method of making, receiving and sending payments. According to the latest records by Safaricom the number had tripled to 10.8 meaning that the M-Pesa is growing at a high rate in the foreign country with clear signs of more rapid growth hence more profits for Safaricom.
Safaricom Ethiopia, which launched M-Pesa in 2023 after getting the necessary approvals, has witnessed unparalleled growth in the number of customers. The mobile money service, which is increasingly popular in Kenya and other African countries, has been increasingly adopted by Ethiopians who are quickly moving towards cashless transactions.
Despite the growth, Safaricom Ethiopia will still have to contend with regulations, competition from other digital payment services, and low levels of financial education. The company is, however, positive about M-Pesa’s prospects and plans to add new features and expand the agent network to address the increasing demand.
As mobile money transforms the economy of Ethiopia, the increased M-Pesa subscribers is an impressive addition – and it is a large step for the country in achieving digital transformation.