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Ethiopia grants Kenya’s Safaricom licence for mobile money transfer operations

Published

2 years ago

May 12, 2023

Kenyan telecoms operator, Safaricom has been granted an operating mobile money transfer licence by the National Bank of Ethiopia (NBE).

The NBE announced in a statement that it had “today issued the mobile money transfer services licence to Safaricom M-Pesa Mobile Financial Service Plc”.

“This is the first mobile money transfer licence granted to a foreign investor in Ethiopia,” the NBE added.

The licence is the first for a foreign operator in the country’s 100 per cent Ethiopian banking sector.

Safaricom in a statement said the government had adjusted its regulations to accommodate it. “Before issuing the licence, the NBE amended the National Payment Systems legislation to establish the necessary regulatory framework for foreign telecom operators to provide Mobile Financial Services (MFS) in Ethiopia.”

“We strongly support the spread of digital payment systems as a substitute for cash transactions,” says the NBE, as Ethiopia announced last year its intention to open its banking sector to foreign players.

Last week, a senior official at Ethiopia’s central bank, Solomon Desta revealed that the country planned to issue up to five banking licences to foreign investors in the next five years.

The Commercial Bank of Ethiopia and 29 other locally owned participants make up the majority of the banking industry in Ethiopia but Prime Minister Abiy Ahmed’s administration lately has prioritized the opening up of the banking industry.

Related Topics:Ethiopia Featured Kenya Safricom

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Moroccan annual inflation rises to 0.8% in November

Published

4 days ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

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Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

5 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”