MTN, one of Africa’s top telecommunications companies collaborates with Flutterwave (Africa’s leading payment platform) in mobile money partnership Africa’s leading payment platform. This agreement allows Flutterwave users to make payments via the MTN mobile money platform (MoMo).
Businesses using Flutterwave in Cameroon, Côte d’Ivoire, Rwanda, Zambia, and Uganda can now receive payments using MoMo, a fintech platform that provides customers with an electronic wallet that allows them to make electronic payments and transfers, as well as access to financial and digital services. MoMo had 48.9 million active users and 581, 514 retailers, according to teleco, as of June 2021.
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MTN and Flutterwave expect to expand the use of mobile money and penetration in Africa as a result of this partnership, enhancing livelihoods and local economies while also creating opportunities for businesses and individuals across the continent. Africa is currently experiencing an explosion in mobile penetration as smartphone adoption rises.
According to the GSMA, Africa will surpass half a billion mobile customers this year, and the continent will reach 50% subscriber penetration by 2025. According to Statista, Sub-Saharan Africa alone is responsible for more than 45 percent of the world’s mobile money accounts, with the number of account holders expected to hit half a billion by 2020. Serigne Dioum, MTN Group’s chief digital and fintech officer, had this to say about the partnership, “As we progress on our journey to becoming the largest fintech platform in Africa, we will empower millions of businesses to embrace e-commerce in our markets to accept digital payments from MoMo consumers. We believe this is an enabler to accelerating digitised payments in Africa. Building strong ecosystems through partnerships is central to our platform strategy and we will continue to invest in expanding the reach of our platform to consumers and businesses in Africa”.
Olugbenga Agboola, the founder and CEO of Flutterwave, commented on the collaboration, “Africa has one of the highest growth rates for mobile money adoption and e-commerce in the world. It makes sense that we help provide a seamless payment method to support and ensure African businesses reap the full benefits of the e-commerce boom in the region. Our goal has always been to grow a new wave of prosperity in Africa by creating more avenues for businesses in Africa to accept payments.”
This new alliance is expected to broaden Flutterwave’s prior engagement with MTN beyond Rwanda and Uganda, with the potential to increase the integration of e-commerce and digital payments throughout Africa, a market that is expected to reach $29 billion by 2022.
