Thunes and M-Pesa Tanzania to Boost Cross-Border Payments in East Africaby Fintechnews Africa 21 September 2021
Global cross-border payments company Thunes has announced a partnership with M-Pesa Tanzania to launch a new service corridor, a statement from the company said. The service will allow users of M-Pesa Tanzania to transfer money directly from M-Pesa mobile wallets to bank accounts in Kenya and Rwanda.
The two companies have been collaborating since 2018, the statement said. Thunes’ cross-border payments network allows M-Pesa Tanzania users to access remittances to most major e-wallets in East Africa.
Currently, Thunes has over 50 intra-Africa corridors in place, providing payments access to over 200 million Africa-based mobile wallets.
In July this year, the company also announced a partnership with Ethiopia’s Dashen Bank to provide instant and affordable cross-border payment services in Ethiopia.
The company had previously raised US$60 million in Series B last year to bolster operations in Africa, Asia and Latin America, including the Kenya, Tanzania, Zimbabwe and Ethiopia markets.
Tanzania is increasing its cross-border trade
Kenya is one of Tanzania’s top trade partners. In the first half of 2021, total import-export values between Kenya and Tanzania stood at US$325.5 million, with exports from Tanzania to Kenya growing 70%.
Meanwhile, the statement noted that trade between Tanzania, Kenya and Rwanda stood at US$635 million.
The three countries, along with Burundi, South Sudan and Uganda, comprise the East African Community (EAC). Last month, the EAC highlighted increased trade flows between Kenya and Tanzania, calling on investors in the two countries to further boost cross-border trade.
“This cooperation with Thunes broadens the reach across East African Markets for millions of Tanzanian-based businesses and individuals. More entrepreneurs and consumers connected to the M-Pesa platform will be able to benefit from the speed and convenience for payments beyond borders that the Thunes’ network provides,”
Epimack Mbeteni, M-Pesa Director from Vodacom Tanzania, said.
Featured image credit: Thunes