In a notable shift within the executive ranks of MTN’s MoMo Payment Service Bank (PSB), Eli Hini, the CEO, and Elsa Muzzolini, the Chief Commercial Officer, have both departed from the fintech company. Elsa Muzzolini has since embarked on a new journey as the CEO of M-PESA Ethiopia, a mobile money venture under Safaricom, officially starting her role on July 15. Prior to her departure, Muzzolini communicated her resignation to the staff in a memo dated July 12 and concurrently updated her professional move on her LinkedIn profile. The future endeavors of Eli Hini, who exited the company in June 2024, remain undisclosed at this point.
Both Hini and Muzzolini were pivotal figures in MoMo PSB since they joined in 2022, spearheading the company’s expansion strategies within the Nigerian market. Their unexpected resignations coincide with MTN Nigeria’s intensified focus on its fintech operations, as the company seeks to enhance its customer wallet shares and application usage. This strategic push follows the telecom giant’s setbacks in its primary telecommunications sector.
In the interim, Phrase Lubega, who currently oversees fintech commercial operations at the group level, has been appointed as the acting CEO of MoMo PSB. His appointment is pending approval from the Central Bank of Nigeria (CBN), as disclosed by a source with intimate knowledge of the situation.
During the first half of 2024, MoMo PSB witnessed a significant increase in mobile money wallets, with a growth rate of 55.8%, reaching 5.5 million users up from 3.1 million in the first half of 2023. This growth in user base contributed to an 11% rise in fintech revenue, largely fueled by the growing adoption of the wallet and MoMo app. In comparison, Airtel’s mobile money service, which is slated for a public offering in 2025, saw its customer base expand by 14.9% to 39.5 million.
On August 5, 2024, MTN Nigeria made a strategic acquisition by purchasing Acxani Capital Limited’s minority stake in MoMo PSB for ₦6.95 billion. This move allowed MTN Nigeria to consolidate its control over the fintech subsidiary, as detailed in a regulatory filing. The acquisition is part of a broader strategy to bolster MoMo PSB’s operational capabilities and drive its growth. Additionally, MTN Nigeria invested an extra ₦9.4 billion into MoMo PSB as a component of this transaction.
