• Safaricom launches "Fintech 2.0" upgrade for M-Pesa platform
• Boosts capacity, adds AI fraud tools, cloud-native architecture
• M-Pesa drives 44% of revenue, holds 90.8% market share

Kenyan telecom company Safaricom announced on Friday, September 19, it has completed a major upgrade to its M-Pesa mobile money platform. Dubbed "Fintech 2.0," the new platform is designed to meet the growing demands of Africa's digital economy and prepare for future opportunities. The Kenyan digital payments market is projected to reach $14.54 billion by 2028, according to data from Statista cited by Mastercard.

The upgrade enhances M-Pesa’s transaction capacity from 4,500 to 6,000 transactions per second, with the potential to scale up to 12,000 transactions per second. It incorporates artificial intelligence for enhanced fraud detection, real-time monitoring, and self-healing capabilities. Built on a cloud-native architecture and multiple hosting sites, it also offers improved resilience and faster deployment of new services.

"This upgrade is a bold investment in the future of M-PESA and reaffirmation of our commitment to innovation, resilience and customer trust," said Peter Ndegwa, Safaricom Group CEO. "By moving to Fintech 2.0, we are unlocking a platform that not only scales to meet today’s demands but also anticipates tomorrow’s opportunities."

The move comes as the digital payments market across Africa is set for massive growth, projected to reach $1.5 trillion by 2030, according to a report by Genesis Analytics commissioned by Mastercard. This expansion is fueled by an estimated 20% annual increase in internet penetration and a 6% annual rise in financial inclusion. Businesses and consumers are increasingly adopting digital and contactless solutions.

M-Pesa has become a key growth engine for Safaricom since its launch in 2007. For the fiscal year ending March 31, 2025, the service generated KES 161.1 billion ($1.24 billion) in revenue, a 15.2% increase from the previous year. It accounted for about 44.2% of the operator’s total service revenue, up from 41.31% the year before. According to data from the Communications Authority, M-Pesa held a dominant 90.8% market share as of that date.

Isaac K. Kassouwi