MTN On Path to Build an Extensive Fintech Platform

MTN has taken a path to make their payment platform even bigger as they extend to a larger customer base and users.

Mobile money has transformed the face of financial services. By harnessing technology, there is an opportunity to “leapfrog” traditional financial service solutions. This rapidly growing industry has accelerated financial inclusion, which has been a potent enabler of socio-economic development, empowering the most vulnerable in society.

Historically, MTN’s solutions were focused mainly on consumers deposits, withdraw, P2P, bill payment, and airtime purchases through agents.

MTN’s fintech ecosystem has now expanded to merchants, businesses, developers, banks, insurance, and many other partners and to support the rising African digital economies, connecting consumers and businesses in multiple ways.

For the first half of the year, their Fintech revenue rose by 39.7%*. The number of active MoMo users increased by 2.6 million to 48.9 million compared to December 2020. The value of MoMo transactions was up by 88.3% to US$115.2 billion and MTN processed 17 292 transactions per minute (up 47.1% from 11 752 in June 2020). In Nigeria, MTN added 121 000 agents to end the period with more than 515 000 registered MoMo agents.

MTN continues to scale its payments platform, the number of active merchants accepting MoMo payments stood at 581 514 (up 85.3% YoY) and the total value of MoMo merchant payments (gross merchandise value – GMV) rose by 354.2% to US$12.4 billion.

The total value of remittances grew by 91.8% to US$1.1 billion at 30 June 2021; while in BankTech they facilitated a total loan value of US$511.5 million, a 49.5% YoY increase. Within InsurTech, our aYo insurance business had more than 13.6 million registered policyholders and 6.3 million active policies (up 31.9% YoY). In total, aYo generated US$3.9 million (R56.7 million) in service revenue and US$6.5 million (R95.5 million) in premium income.

MTN concluded an agreement to increase our shareholding in aYo to 100% as MMH exits the partnership. At the same time, MTN announced a strategic alliance with Sanlam, which will help to accelerate its InsurTech growth on the continent, in line with our pan-African strategy. The aYo platform will form the base of the alliance with Sanlam.

MTN understands that for its consumers, mobile money is an everyday enabler. For the businesses of Africa, mobile money is the gateway for digitization and acceleration.

As more people reap the dividends of being financially included, the way is being paved to enhance lives and boost economic growth to the benefit of all.

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