Kenya’s telecom Safaricom has made a financial injection worth Sh407 Million in its M-Pesa global business with the aim of increasing the mobile money transfer platform’s customer base by increasing the platform’s presence across the globe.
M-Pesa is a mobile phone-based money transfer, financing and microfinancing service that helps users send and receive funds in collaboration with other platforms like SkyForex, WorldRemit, Western Union, PayPal, AliExpress and several others.
Safaricom made the investment through Instaconnect Limited, which it acquired in 2010 and has previously provided content services.
The telecommunication company in its annual report stated that the fund injection will hopefully advance M-Pesa’s business activities which expectedly will have a good effect on the full-year reported results ending March 2020.
A report on the investment reads, “The company rolled out the international money transfer business through its 100 percent owned subsidiary, Instaconnect Limited, and injected additional capital by acquiring assets worth Sh397 million and a cash transfer of Sh10 million.”
M-Pesa has fared well financially lately has its revenue keeps growing. In the year ended March 2018, it rose 19.2 percent to Sh75 billion.
Also, the mobile-phone money service managed Sh101 billion of all diaspora remittances that got into the country in the year ended March.
Launched in 2007 by Vodafone for Safaricom and Vodacom, M-Pesa has received accolades from several quarters for transforming mobile payments in Africa and across the globe.
