MTN and Ericsson to empower millions in Africa through Momo

Ericsson and the MTN Group have deepened their collaboration to enhance mobile financial services and empower millions of individuals across Africa. This partnership aims to expand the reach of financial inclusion, catering to both first-time users and high-end business applications. By leveraging MTN’s Mobile Money (MoMo) service on the Ericsson Wallet Platform, a comprehensive suite of services will be provided to MTN’s customer base, enabling them to access a world-class mobile connectivity-based financial ecosystem.

In addition to advancing financial inclusion for the unbanked, MTN will also offer advanced financial services to meet the evolving digital financial needs of individuals and enterprises. With the Ericsson Wallet Platform powering MTN Mobile Money, customers can securely manage funds, make payments to merchants and utility providers, and access loans and insurance services conveniently from their mobile devices.

This platform places a strong emphasis on financial technology (FinTech), with a focus on areas such as merchant and e-commerce payments, national and international money transfers (remittance services), banking solutions (BankTech), and insurance services (InsurTech). The agreement between Ericsson and MTN was signed during a visit by senior MTN Group executives to Ericsson’s Group Headquarters in Kista, Sweden, where they discussed key strategic priorities and collaboration opportunities.

More than 63 million active subscribers are currently utilizing the MTN Mobile Money platform across 16 African countries. The annual transaction value of MTN MoMo has nearly tripled since 2018, rising from USD 76 billion to USD 204 billion in 2022. Transaction volumes have also seen a significant increase, growing by almost 300 percent from 3.5 billion transactions in 2018 to 12.7 billion in 2022.

Ericsson Wallet Platform, on the other hand, supports over 400 million registered mobile wallets and processes more than 2.8 billion transactions monthly, totaling more than USD 40 billion. This is done through collaboration with communication service providers and financial institutions on a global scale.

Serigne Dioum, Chief Fintech Officer at MTN Group, emphasizes the impact of MTN Mobile Money in advancing economic empowerment across Africa. With 63.5 million active users, the platform offers a wide range of financial services such as money transfers, payments, savings, and loans, contributing to financial inclusion and empowerment. The partnership with Ericsson plays a crucial role in achieving MTN’s Ambition 2025 goals of creating the largest and most valuable platform business in Africa.

Michael Wallis-Brown, Head of Mobile Financial Services at Ericsson, highlights the significance of the partnership with MTN in promoting financial empowerment for individuals and businesses. This collaboration not only benefits the unbanked population but also facilitates easier access to financial services for women and promotes digital inclusion. The model established through this partnership can be replicated in various markets worldwide to empower mobile subscribers across different financial backgrounds, aligning with Ericsson’s AfricaInMotion vision to promote a sustainable and connected Africa.”