(Ecofin Agency) - The African mobile money market is growing rapidly, driven in part by the accelerating digital transformation across the continent. As of December 2021, Uganda had a dozen licensed non-bank payment entities in various categories.
Online and mobile payment solutions aggregator Pesapal can now officially provide its mobile payment services in Uganda. The company recently received a payment system operator’s license from the central bank, Bank of Uganda.
With that license, Pesapal intends to revolutionize the digital payment ecosystem “with “innovative, convenient and secure digital financial services."
Pesapal is an alternative to Paypal. It allows users to pay their bills with credit and debit cards or by using their bank or mobile money accounts. Its vision is to “empower Africa to access affordable, convenient, and secure digital financial services that drive sustainable growth.”
Last year, the company obtained regulatory approvals from Kenyan and Tanzanian authorities. Also, it is already active in Malawi, Rwanda, and Zimbabwe
It is formalizing its operations in Uganda and other African countries amid accelerated digital transformation and growing adoption f digital payment solutions. According to the Uganda Communications Commission (UCC), the country had 32.7 million mobile money accounts as of December 2021, representing a 76% penetration rate.
“At Pesapal, we give people and businesses better ways to pay and get paid. Now, with the Bank of Uganda's regulatory greenlight, we will be able to hunker down in our continued effort to change the face of digital financial services in Uganda as a key stakeholder of its financial ecosystem,” said Martin Barungi, Pesapal Uganda Country Director.
Isaac K. Kassouwi