Safaricom and PayPal have announced a strategic collaboration to link M-PESA wallets with PayPal accounts, allowing over 35 million M-PESA users and 2 million micro businesses in Kenya to send and receive payments across PayPal’s global network.
How it works
Customers will be able to transfer money directly between their M-PESA and PayPal wallets. The service is currently available for Kenyan M-PESA users, with plans to expand to other markets.
Why it matters
“This collaboration empowers customers and entrepreneurs to tap into the global digital economy,” said Esther Waititu, Chief Financial Services Officer at Safaricom.
“It’s part of our commitment to unlocking opportunities and transforming lives through the power of M-PESA.”
Context
The move targets the growing population of African freelancers and gig workers earning income online. It also highlights a broader trend of interoperability between fintech platforms, aiming to create more inclusive digital financial ecosystems.
Zoom out:
- PayPal operates in over 200 markets with 400M+ active users.
- M-PESA serves more than 50 million users across Africa, with over $1.1 billion transacted daily.
- The initiative follows years of M-PESA’s financial inclusion efforts, including M-PESA Kadogo and Ziidi MMF, promoting savings and micro-investing.
Source: Kenyan Wallstreet
