Send Money to Africa Mobile Money: A Comprehensive Guide

Mobile money has revolutionized the way people send and receive money in Africa. With over 70% of the continent's population having access to mobile phones, mobile money has become a convenient and reliable way to send money to loved ones in Africa.

In fact, the mobile money market in Africa is projected to reach $150 billion by 2025. This is a testament to the widespread adoption and acceptance of mobile money services across the continent.

Sending money to Africa via mobile money is a relatively straightforward process. You simply need to have a mobile money account with a reputable service provider, such as M-Pesa or MTN Mobile Money.

The initial concept of M-PESA was to create a service which would allow microfinance borrowers to conveniently receive and repay loans using the network of Safaricom airtime resellers.

This approach aimed to enable microfinance institutions to offer more competitive loan rates to their users, as costs are lower than when dealing in cash. Customers adopted the service for alternative uses, and complications arose with Faulu, the partnering MFI.

M-PESA was re-focused and launched with a different value proposition: sending remittances home across the country and making payments.

Mobile money has become a game-changer in Africa, where over 60% of the population is unbanked, providing a way for people to access financial services that were previously out of reach, especially in rural areas.

MTN Mobile Money, also known as MoMo, is a fintech platform that allows eligible users to send local and international payments, get loans, buy insurance, and access a wide range of other financial services.

The concept of history is a vast and complex one, but let's start with the basics. History dates back to ancient civilizations, with evidence of recorded events found in ancient Mesopotamia around 3500 BCE.

The earliest recorded history is found in cuneiform script on clay tablets, which reveals the stories of the Sumerians, Akkadians, and Babylonians. These civilizations made significant contributions to the development of writing, governance, and architecture.

The ancient Egyptians also left behind a rich history, with their pyramids and temples showcasing their advanced engineering and artistic skills. The Great Pyramid of Giza, built around 2580 BCE, is one of the Seven Wonders of the Ancient World and a testament to the ingenuity of the Egyptians.

In contrast, the ancient Greeks made significant contributions to philosophy, theater, and democracy, with figures like Socrates, Plato, and Aristotle shaping Western thought. The city-state of Athens, in particular, was a hub of intellectual and artistic activity during the 5th century BCE.

The history of the ancient world is a fascinating topic, with many cultures and civilizations contributing to our understanding of the past.

The concept of mobile money services was initially created to help microfinance borrowers receive and repay loans using airtime resellers. This was a way for microfinance institutions to offer lower loan rates to their users.

In the case of M-PESA, the initial concept was to partner with Safaricom airtime resellers to make loan repayments more convenient. However, customers adopted the service for alternative uses, and the partnership with Faulu, a microfinance institution, didn't work out as planned.

M-PESA was later re-focused to allow users to send remittances home and make payments, which ended up being a more successful value proposition. This change in direction allowed M-PESA to tap into a new market and provide a service that was in high demand.

Mobile money services like M-PESA and MTN Mobile Money have become game-changers in Africa, where over 60% of the population is unbanked.

Mobile money services have revolutionized the way people send and receive money in Africa. Millions of users across the continent rely on services like M-Pesa, Orange Money, MTN Mobile Money, and Airtel Money to send and receive money, pay bills, and purchase airtime and other digital products.

These services are operated by mobile network operators like Safaricom and Vodacom, which have partnered with banks to offer expanded banking services. For example, M-Pesa customers can deposit and withdraw local currency, transfer currencies to other users, and even save currency in a virtual account.

Transaction charges vary depending on the amount of money being transferred and whether the payee is a registered user of the service. Here's a breakdown of the charges:

In 2016, M-PESA moved KSh15 billion (US$147776845.14) per day, with a revenue of KSh41 billion. This highlights the massive scale of mobile money transactions in Africa.

M-Pesa transaction charges vary based on the type and amount of the transaction, with detailed breakdowns available online.

In some cases, transaction speed can be a major concern. M-Pesa allows for instant transfers, making it a convenient option for those who need to send or receive money quickly.

The Central Bank of Kenya reported that M-Pesa moved CHF 1 billion in fiscal year 2014, with a profit of CHF 268 million, showing the service's ability to handle large transactions efficiently.

For those who need to withdraw cash, M-Pesa offers instant withdrawals, with a charge of KSh10 (US$0.09) for a withdrawal of KSh50–100 or 10% to 20%.

In 2017, Safaricom reported that KSh6,869 billion were moved through M-Pesa, demonstrating the service's capacity to handle high transaction volumes.

With M-Pesa, you can expect fast and reliable transactions, making it a great option for those who need to send or receive money quickly.

TapTap is an app that enables instant and low-cost money transfers to Africa and Asia. It focuses on ease of use and affordability.

Users can send money to countries including DR Congo, Ghana, Ethiopia, Egypt, and Ivory Coast. TapTap Send is a popular option for those who need to send money to these regions.

The app's ease of use and low costs make it a convenient choice for individuals and businesses alike.

To use mobile money services, you'll typically need to register with a mobile network provider, such as MTN Mobile Money, and have a smart device with a SIM.

Registration is usually a straightforward process that can be done through the MoMo app, where you can view available options based on your location.

You can access a range of digital financial services, including in-store and digital payments, e-commerce, insurance, lending, and remittance services, all from your phone.

Some services may also offer the option to visit a local agent to transact in cash, for example to pay in or make a withdrawal from your account.

Fees apply to these services, and the cost will depend on your location, so be sure to check the key facts document for your specific country to get all the details.

M-PESA is a popular mobile money service that operates in several countries across Africa. It expanded into Mozambique, Lesotho, and Egypt in 2013, marking a significant milestone in its growth.

M-PESA currently operates in several countries, but you can find a full list on M-Pesa's website for the most up-to-date information.

In May 2013, M-PESA entered the Mozambican market, offering its services to residents and visitors alike.

Kenya has been at the forefront of the mobile money revolution with M-PESA, launched by Safaricom in March 2007.

M-PESA quickly captured a significant market share for cash transfers, growing to 17 million subscribers by December 2011.

The service's popularity forced formal banking institutions to take notice, with a group of banks lobbying the Kenyan finance minister to audit M-PESA in December 2008.

The audit found that the service was robust, and M-PESA transactions for 2014 were valued at KSh2.1 trillion, a 28% increase from 2013, and almost half the value of the country's GDP.

Safaricom launched a companion Android app, Safaricom M-Ledger, in November 2014, giving M-PESA users a historical view of all their transactions.

In 2018, the Google Play store started taking payments for apps via Kenya's M-PESA service, expanding the service's reach.

Safaricom launched Fuliza, an M-PESA overdraft facility, in January 2019, further increasing the service's capabilities.

Tanzania was one of the earliest countries to adopt M-PESA, with Vodacom launching the service in 2008.

The initial launch didn't quite meet expectations, with the service struggling to attract customers.

However, a report by the International Finance Corporation in 2010 helped to shed light on the issues and identify areas for improvement.

By 2013, M-PESA in Tanzania had managed to gain a significant following, with five million subscribers by May of that year.

South Africa's experience with M-PESA has been a challenging one. In 2010, Vodacom and Nedbank launched the service, expecting 10 million users within three years, but by May 2011, only 100,000 customers had signed up.

The local regulations were more stringent than those in Kenya, making it tough for M-PESA to gain traction. Customer registration and acquiring outlets were major hurdles.

A campaign was launched in June 2011 to re-position M-PESA, targeting customers with a higher Living Standard Measures (LSM). Despite this, M-PESA still struggled to grow its customer base by March 2015, with only about 1 million subscribers.

South Africa's high level of financial maturity and technological innovation made it difficult for M-PESA to compete with established financial institutions. 70% of South Africans have at least one bank account, making M-PESA's offering less appealing.

M-PESA has expanded its services to several countries beyond its initial launch.

In May 2013, M-PESA entered the Mozambican market, marking a significant milestone in its global expansion.

Lesotho was the next country to join the M-PESA network, with the service becoming available in June 2013.

Egypt followed suit, with M-PESA launching in July 2013.

For a comprehensive list of countries where M-PESA currently operates, you can visit the company's official website.

M-PESA, a leading mobile money service in Kenya, understood the importance of regulation and KYC rules from the start. They sought to engage with Kenyan regulators and stay updated on the development process.

By leveraging national identity cards issued by the Kenyan government, M-PESA was able to satisfy their KYC requirements. This ensured that they were collecting and verifying identification documents as required.

M-PESA obtained a "special" license from regulators, despite initial concerns about non-branch banking adding to financial instability. This license gave them the authorization to operate.

Regulated and licensed companies are a must when sending money to Africa. This assurance comes from the fact that they have been vetted and approved by the relevant authorities.

The UK's Financial Conduct Authority (FCA) and the payment card industry are examples of international regulators that M-PESA reached out to for guidance on protecting client information.

International transfers can be a bit of a hassle, but there are some great options out there. Wise is a smart option for sending money overseas, with low, transparent fees and the mid-market exchange rate.

You can send money to 70+ countries with Wise, and they'll even show you how much your recipient will get. If another service is cheaper for your particular payment, you'll be shown too.

MTN Mobile Money international transfers take time, and the time it takes will depend on the transfer destination and value. You'll be able to see the specific MTN Mobile Money international transfer fees based on your location, in the MTN app.

Rapid Transfer is a fast and easy way to transfer money across Africa, with Ecobank customers able to make transfers, pay bills, and send money to other Ecobank and non-Ecobank users. You can even send, receive, and withdraw your money through mobile money agents or cash points.

To send money with MTN Mobile Money, you'll need to sign up and provide your personal details. The process may be different depending on your device and where you're sending to, so be sure to check the local options first.

Transferring money from one country to another can be a daunting task, but services like Transfy and Send by Flutterwave make it easier. Transfy offers a convenient, transparent, and simple method of sending and receiving money in local currencies across African countries.

MTN Mobile Money international transfers fees and costs can vary depending on your location, but in Uganda, for example, there's no fee to receive an overseas payment to your MTN Mobile Money account. Here are the fees for sending money with MTN Mobile Money in Uganda:

These fees are subject to change, so be sure to check your own location for details.