Vodafone launches new M-Pesa service in Kenya
Vodafone, the telecoms giant involved in the development of the M-Pesa service in Africa, has announced that from Tuesday 27th the service's Kenyan customers will have access to interest bearing saving accounts and have the ability to take out small loans through a new service, called M-Shwari.
Vodafone, the telecoms giant involved in the development of the M-Pesa service in Africa, has announced that from Tuesday 27th the service's Kenyan customers will have access to interest bearing saving accounts and have the ability to take out small loans through a new service, called M-Shwari.
The new service is the result of a new strategic cooperation between Vodafone, Safaricom and the Commercial Bank of Africa (CBA). Safaricom customers can sign up to the M-Shwari interest bearing savings account, provided by CBA, directly through the M-Pesa menu on their phone.
A customer's eligibility is determined based on his or her's M-Pesa transactions and savings history, and there are no forms to fill out. The loan money is then sent by CBA to the customer's M-Pesa account immediately.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Michael Joseph, Director for M-Pesa within Vodafone Group, says: "M-Shwari is a transformational service: saving is no longer the privilege of an elite; all Kenyans can now save, even the smallest amounts and at their own pace. M-Shwari creates a safe environment for customers to borrow small amounts and links the amounts of credit available to the ability to save. Through their M-Shwari savings account, M-Pesa customers are empowered to manage their financial lives."
He adds: "Working with CBA meant having access to banking expertise in savings and loans and allowing M-Pesa customers to earn interest from their savings. This is an important step forward for millions of M-Pesa customers in Kenya."
M-Pesa (which means 'mobile money') is currently the most advanced mobile payment system in the developing world, and allows anyone with a national ID card or passport to use its services using a mobile device.
Vodafone's share price rose 0.13% to 157.85p by 08:40.
NR
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
The MoneyWeek Readers' Choice Awards 2025
MoneyWeek Awards The MoneyWeek Readers' Choice Awards celebrate the products and services that help you make, keep and spend your money. Find out more about this year's awards.
By MoneyWeek Published
-
8 of the best houses for sale with home cinemas
Houses for sale with home cinemas – from a modern oast-house style property in Kent to a house in Buckinghamshire with Dolby sound and bespoke seating
By Natasha Langan Published