Financial Services: MTN Aims for Banking Licenses to Boost Credit Offering
Seeking to capture a greater share of value added in the digital credit market, the telecommunications firm plans to directly collect deposits and fund loans using its own balance sheet.
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The Chief Executive Officer, Ralph Mupita, presented on August 25, 2026, the group's strategic roadmap which provides for the acquisition of banking licenses within its high-liquidity subsidiaries.
Abandoning the sole intermediation partnership model with credit institutions, the firm intends to anchor lending operations to its own balance sheet while relying on a credit portfolio already amounting to $2.7 billion, up 78.3% year-on-year. Energized by the issuance of 954,000 virtual cards across seven key markets, the monetary ecosystem records a 12.1% increase in monthly active users, reaching 70.8 million subscribers.
The total value of processed transactions surges by 33.8% to reach $330.5 billion, driven by a platform logging 13 billion operations in the first six months of the year. Thanks to the expansion of acceptance networks now encompassing 2.3 million merchants (up 18.1%), deposit collection will enable increased lending to households and economic agents.
The rise of nano-credit offerings observed in Cameroon foreshadows the transformation of mobile operators' business profiles.
Supported by the company's financial strength, the integration of banking activities sharpens competition vis-à-vis traditional banking players. It must be said that direct access to savings resources will reduce funding costs while elevating the profitability of high-value-added financial services.
In the long term, the realization of regulatory approvals will strengthen the telecom giant's autonomy vis-à-vis traditional distribution networks. Mastery over global payment and fund disbursement flows will constitute the priority growth engine for the continental firm throughout the current decade.
Bernardo
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