Fintech Is Giving Africa’s Top Telco A Lifeline Amid Setbacks
- MTN Group reported a 20.8% decline in group service revenue, largely due to a drop in revenue from its Nigerian operations.
- MTN's fintech division saw a 27.2% year-on-year growth, with strong performances in Ghana, Uganda, and Cameroon.
- MoMo, MTN's mobile money platform, has seen a 9.1% increase in user base and a 42.4% year-on-year growth in the remittance business.
MTN Group's financial results show a tale of two halves, with the traditional telecommunications business facing challenges while the fintech division demonstrates remarkable growth. The company's strategic shift towards fintech services, particularly MoMo mobile money platform and international remittances, has driven the success of its fintech ecosystem. This pivot towards fintech is a smart response to the challenges in the telecommunications industry and positions MTN as a leading player in the African fintech space.
