Addis Ababa — M-PESA Ethiopia has launched M-PESA Lehulum, a new platform that enables mobile money services to operate across all telecommunications networks in the country. The rollout marks a significant step toward broader interoperability in Ethiopia’s financial technology sector, allowing customers to use M-PESA without switching SIM cards or mobile operators.

A Shift Toward Greater Accessibility

The introduction of M-PESA Lehulum comes as digital finance adoption continues to climb nationwide. By mid-2024, Ethiopia recorded more than 107 million mobile money and wallet registrations, alongside nearly 40 million mobile banking accounts. This strong uptake suggests rising demand for convenient digital financial tools, especially among younger and urban populations.

M-PESA Lehulum is designed to function independently of any specific telecom provider. Users can sign up with any Ethiopian phone number, verify their identity through the Fayda national ID eKYC system, and begin transactions immediately. The service aims to reduce longstanding barriers tied to network-specific mobile money products.

Features and Financial Functions

The platform offers a broad set of functionalities commonly associated with mobile money services, including:

• Peer-to-peer transfers
• Utility and government bill payments
• Airtime and data purchases
• Merchant and QR code payments
• Access to short-term loans through M-PESA Overdraft (Errif Be M-PESA)

Through integration with ETHSwitch, the national payment switch, users can move funds between bank accounts and mobile wallets, enabling smoother interaction between digital money and the banking sector.

Regulatory Support and Strategic Timing

M-PESA Ethiopia CEO Elsa Muzzolini said the new platform is designed to widen participation in the digital economy by providing a service that operates regardless of mobile operator. She noted that regulatory approvals from the National Bank of Ethiopia and the Information Network Security Administration were crucial for enabling the launch.

The rollout coincides with broader changes in Ethiopia’s telecom and digital finance landscape. Mobile subscriber numbers have grown steadily since 2021, and declining mobile internet costs have made digital services more accessible. Liberalization efforts in the sector have also encouraged competition and technological investment, creating favorable conditions for a multi-network service like M-PESA Lehulum.

Opportunities and Ongoing Obstacles

While mobile money usage is expanding rapidly, industry analysts point to challenges that could affect adoption. Multiple wallet registrations by the same users make it difficult to determine how many people are newly financially included. In addition, rural communities continue to report limited smartphone access, weaker agent networks, and gaps in digital literacy.

Despite these hurdles, the launch of a network-agnostic mobile money platform is seen as a notable development, particularly for regions with limited access to traditional financial institutions.

Locally Developed Platform With Scalable Architecture

M-PESA Lehulum was built entirely by M-PESA Ethiopia’s technology team in collaboration with Safaricom Ethiopia. The companies say the development process relied on local engineering expertise while adhering to international standards for security and technical resilience.

The application is currently available through the Google Play Store, with an iOS version expected soon. Industry observers will be watching how quickly the service spreads beyond major cities and whether it can reach communities that remain underserved by existing financial channels.