Mobile operator and money service provider Vodacom Tanzania has recently initiated the second phase of its International Money Remittance expansion scheme that allows for direct money transfers from M-Pesa to all bank accounts in East Africa.
The Vodacom M-Pesa mobile-based money transfer service now allows for direct money transfers from M-Pesa to all bank accounts in Kenya, Uganda, Burundi, and Rwanda, in addition to Tanzania, but also other mobile money wallets.
Earlier, M-Pesa customers were able to send mobile money to other Mobile money networks in East Africa like Safaricom, Airtel and MTN, and to bank accounts in Tanzania.
Vodacom Tanzania Plc was the first mobile provider to launch a mobile money service in the country. From mobile money transfer, the service has expanded to include bill payments, savings and loans, and merchant’s payments.
M-Pesa currently services approximately 240,000 users monthly who receive international remittances. However, there remains a significant number of users who still use traditional bank transfers and other means of cash transfer.
Tanzania’s mobile money penetration reached 53% with 29.7 million mobile money subscriptions in 2020, compared to 21 million in 2018, with an increase of 41%.
In June 2020, 272,339,270 mobile money transactions took place, for a total value of USD 4.6 billion.