Safaricom Ethiopia, through its newly established and wholly owned subsidiary, Safaricom M-PESA Mobile Financial Services PLC (Private Limited Company), received the Payment Instrument Issuer License from the National Bank of Ethiopia, which enables it to avail mobile financial services to its customers under the trademark M-PESA.
Prior to issuing the license, the National Bank of Ethiopia amended the National Payment Systems Proclamation to provide the necessary regulatory framework for foreign-owned telecom operators to provide Mobile Financial Services (MFS) in Ethiopia, done in consultation with the industry players in the country.
M-PESA is Africa's most successful mobile money service and the region’s largest fintech platform, both for the banked and unbanked, due to its safety and convenience. It also provides financial services to millions of people who have mobile phones but do not have bank accounts or only have limited access to banking services.
In compliance with the applicable legislation in Ethiopia, the subsidiary of Safaricom Telecommunications Ethiopia was set up with a 50 million birr initial capital and will offer mobile financial services under the brand M-PESA by the second half of 2023.
