• Vodacom Tanzania invests $28 million to upgrade M-Pesa platform
• New system improves reliability, security, and transaction capacity
• Upgrade strengthens position in rapidly growing mobile money market

Vodacom Tanzania has modernized its M-Pesa mobile money platform through a $28 million investment. The initiative aims to boost the operator's ability to meet growing demand for digital financial services across Tanzania.

Completed on Thursday, April 2, the upgrade moves M-Pesa from its legacy G2 system to a next-generation platform. The transition is expected to improve reliability for customers, reduce service interruptions and enhance transaction security. For agents, merchants and business partners, it increases transaction capacity, improves the transparency and quality of reporting, and streamlines operations.

Vodacom Tanzania said the new platform will also enable faster deployment of new features and services, opening opportunities for innovation in savings, credit, payments and business solutions. The company added that the investment is intended to strengthen the foundations of M-Pesa so it remains secure, reliable and capable of supporting innovation at scale, while evolving with customer needs.

Reinforcing its position in Tanzania's mobile money market

The upgrade strengthens Vodacom Tanzania’s position in Tanzania's fast-growing mobile money market. According to the Tanzania Communications Regulatory Authority, the number of mobile money subscriptions rose from 35.28 million in 2021 to 76.46 million in 2025, while the number of transactions increased from 3.75 billion to 6.3 billion over the same period.

As of the end of December 2025, the company held a 41.2% share of the 76.5 million mobile money service subscriptions recorded by the TCRA. Its main competitors, Yas, Airtel and Halotel, held 29.5%, 18.5% and 10% of the market, respectively.

Expanding and accelerating M-Pesa's growth is a key strategic priority for Vodacom Tanzania. The company said it aims to further drive M-Pesa growth through three focus areas: expanding its digital financial services offerings, accelerating merchant payment solutions and advancing its M-Pesa super app, according to its 2025 annual report.

Isaac K. Kassouwi