JOHANNESBURG (Reuters) – South African mobile phone operator MTN Group has pulled the plug on its local mobile money business, saying it was not viable in a country where around three quarters of the population already has a bank account.
Mobile money services that allow customers to transfer funds using their phones have proved hugely popular in some other parts of Africa, particularly where people have less access to traditional bank accounts.
MTN launched its South African service in 2012 after the success of Safaricom’s M-Pesa in east Africa convinced some executives the service was the industry’s next growth area.
However MTN, Africa’s biggest wireless phone group, now joins Vodacom in abandoning the service in South Africa.
“The operating costs of providing a mobile money platform has become prohibitive,” MTN said in a statement on Thursday.
Both Safaricom and Vodacom are controlled by Britain’s Vodafone.
MTN said its decision did not mean a complete exit from financial services.
“MTN is still committed to remaining a significant player in the financial services space and we are exploring opportunities in financial services space and other adjacent sectors,” it said.
ZANU PF politburo member and Higher and Tertiary Education minister Jonathan Moyo faces disciplinary action for his continued use of social media platforms to attack fellow party members in defiance ...
SAN FRANCISCO - Facebook Inc introduced a slate of new advertising products on Sunday, most of which are aimed at luring television advertisers onto the 1.5-billion user social network.
The advertising ...
Angolan President’s Eduardo dos Santos’ multibillionaire daughter Isabel is reportedly interested in taking over telecoms giant Telecel as it emerges political bigwigs are pushing for the ouster of Telecel Zimbabwe ...
Apple introduced mobile payments in Britain on Tuesday, hoping to make a splash with consumers familiar with using cards for tap-and-go purchases, as resistance from hold-out banks and stores appeared ...
Drake ended Ed Sheeran’s two week reign atop the Billboard 200 album chart on Monday, selling a monster 505,000 copies of his new album “More Life,” according to figures from Nielsen SoundScan. The Canadian rapper, […]
RONNIE Mudhindo’s musical journey is not complete without the mentioning of his early days with the late Tongai “Dhewa” Moyo and Utakataka Express band. The reference involves both sweetness and sourness. Utakataka fans may remember […]
AFRICAN-ROOTS musician, Bryn Taurai Mteki is determined to win back hearts of the legion of Chimurenga music-starved lovers judging from the explosive shows he staged at Club Mandisa and Dzonzayi Complex in Chipinge last weekend. […]