By Kefiloe Kajane
Vodacom Lesotho today announced that its M-Pesa division will now operate under a newly set up, independent company known as VCL Financial Services.
Authorised by the Central Bank of Lesotho, the entity will be a licensed financial services provider, fully owned by Vodacom Lesotho. Launched in 2013, M-Pesa has grown from only 1,900 registered customers to over one million, with monthly transaction values surpassing M1-billion.
Vodacom Lesotho Managing Director Mohale Ralebitso said M-Pesa has come a long way as a revolutionary financial service and driver of financial inclusion and economic empowerment. He said initially, only two products were available, now they offer everything from savings and insurance products to cross-border transfers and ticketing, amongst others
“What is more, we now have over 8,000 agents and more than 3,000 merchants across the country. Given M-Pesa’s phenomenal success, even against the backdrop of global economic decline, the natural next step was to make M-Pesa an independent entity, ensuring that it is well-positioned to deliver on its growth ambitions,” he said.
VCL Financial Services Head Palesa Mphunyetsane said the move enables the brand to further diversify its product offering, with the aim of becoming a fully-fledged financial services institution.
She indicated that this will see them bringing more solutions to the market, helping to address a number of societal challenges regarding payments and collections.
She further indicated that their focus will be on savings and investments; lending solutions for individuals and small, medium, and micro enterprises (SMMEs); wealth management; payments and collections; and the digitisation of services.
She explained that from a customer point of view, all branding, support structures, contacts and infrastructure will remain the same.
“Basotho have been able to send and receive money, buy airtime and bundles, pay for utility bills, create savings groups and perform international money transfers, all thanks to M-Pesa. We look forward to the next milestone in our journey and can’t wait for customers to see what our expanded solutions portfolio has to offer, and how it will transform their lives for the better,” she said.
