The MTN MoMO agreement is supposed to bring benefits to selected African countries. MTN MoMo is a fintech platform that provides electronic transfers and payments as well as access to digital and financial services. Flutterwave will be able to provide MTN Mobile Money as a payment option to its business customers as a result of this new agreement. The partnership aims to boost the use of digital payments and e-commerce in Africa. In this New MTN MoMo agreement, five African countries are to benefit.
In this article, we give you all the details emerging from Flutterwave, an African payment platform giant, agreement with MTN, also an African Telecommunications company, the benefits to the countries involved, and the ripple effect to the whole continent of Africa.
MTN MoMO Agreement with Flutterwave
MTN today (9th September 2021) launched a mobile money partnership with Flutterwave, Africa’s top payments technology company, allowing businesses in Cameroon, Côte d’Ivoire, Rwanda, Uganda, and Zambia to take payments via MTN Mobile Money (MoMo).
MTN MoMo is a fintech platform that provides an electronic wallet to consumers and businesses, allowing for electronic transfers and payments as well as access to digital and financial services.
MTN MoMo had 48.9 million active users and 581,514 merchants at the end of June 2021. Within the mobile money ecosystem, MoMo allows companies to receive and make payments. Flutterwave will be able to provide MTN Mobile Money as a payment option to its business customers as a result of this new agreement.
According to the GSMA, Africa will surpass half a billion unique mobile customers this year, and 50 percent subscriber penetration will be achieved 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. MTN and Flutterwave will contribute to this trend by growing mobile money usage and penetration in Africa as a result of their relationship.
Chief Digital and Fintech Officer Serigne Dioum on MTN MoMO Agreement
MTN Group Chief Digital and Fintech Officer Serigne Dioum said of the cooperation, “As we move on our journey to become Africa’s leading fintech platform, we will allow millions of businesses to embrace e-commerce in our markets to take digital payments from MoMo consumers.”
This, we believe, will help accelerate the adoption of electronic payments throughout Africa. Our platform approach prioritizes the development of robust ecosystems through partnerships, and we will continue to invest in increasing our platform’s reach to African consumers and businesses.”
The new relationship will extend Flutterwave’s prior engagement with MTN beyond Uganda and Rwanda, with the goal of boosting the use of digital payments and e-commerce in Africa, a market that Statista estimates could reach $29 billion by 2022.
Conclusion
With this agreement between MTN and Flutterwave, we now understand that MTN MoMo, as a fintech platform, that provides electronic transfers and payments, as well as access to digital and financial services, the partnership will boost the use of digital payments and e-commerce in Africa.
Flutterwave will be able to provide MTN Mobile Money as a payment option to its business customers as a result of this agreement. We also now know that Sub-Saharan Africa has more than 45 percent of the world’s mobile money accounts, according to Statista. MTN Group Chief of Digital and Fintech Officer, Serigne Dioum spoke about this groundbreaking cooperation, “As we move on our journey to become Africa’s leading fintech platform, we will allow millions of businesses to embrace e-commerce in our markets to take digital payments from MoMo consumers.”