M-KOPA, a pioneering financial technology company focused on providing affordable smartphones and digital financial services in emerging markets, has reached a new milestone. The fintech announced it has surpassed 5 million customers across its African markets, with an astounding 2 million customers onboarded in just the last 15 months. This achievement highlights M-KOPA’s rapid expansion and its significant contribution to financial inclusion in Africa.
Empowering Underbanked Africans with Digital Access
Founded in 2011 by Jesse Moore, Chad Larson, and Nick Hughes, M-KOPA has been at the forefront of digital financial services for the underbanked across Kenya, Uganda, Nigeria, Ghana, and South Africa. The fintech uses an innovative financing model based on daily repayments, enabling Every Day Earners—those who earn their income daily but lack access to conventional financial services—to afford smartphones and essential digital services. This approach has helped the company unlock over $1.5 billion in credit, empowering millions of individuals to participate in the digital economy.
According to Jesse Moore, co-founder and CEO of M-KOPA, this milestone reflects the company’s broad impact on its users and the communities it serves.
“We are thrilled to welcome our 5 millionth customer to M-KOPA this month. The scale of our operations and our positive impact on customers is what keeps us working hard to go even further. We’re just getting started; the opportunity for much larger impact and scale is right in front of us,” said Moore.
The Role of M-KOPA in Financial Inclusion
M-KOPA’s innovative financing system allows underserved individuals to access affordable smartphones and services that fit their income streams. Using a daily repayment model, customers can manage payments according to their cash flow, giving them an affordable entry point into the digital economy. This model not only supports smartphone ownership but also helps build a credit history for users, which opens the door to additional financial services such as low-cost loans, affordable data subscriptions, and medical insurance.
The company has made significant strides in addressing the financial exclusion that affects 75% of adults in sub-Saharan Africa, according to the World Bank. By leveraging payment data and AI-driven analytics, M-KOPA provides long-term financial services that benefit both individuals and their communities.
M-KOPA’s 2024 Impact Report: A Snapshot of Social and Environmental Impact
M-KOPA recently released its 2024 Impact Report, a comprehensive document detailing its social and environmental contributions. Conducted by Dalberg Research, the report shows the measurable impact M-KOPA has had on improving access to technology, financial empowerment, and environmental sustainability.
Key highlights from the 2024 report include:
- 92% of customers confirmed that M-KOPA’s financing made technology more affordable.
- 80% of customers reported an improvement in their quality of life due to M-KOPA products.
- 70% of users credited the fintech with helping them achieve their financial goals.
- 62% of customers use M-KOPA products to generate income.
In addition to these milestones, M-KOPA has significantly improved digital access in Africa, with 2 million customers now being first-time mobile internet users. The company also boasts that 40% of its customers are women, with plans to increase this figure to 50% in the coming years.
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Local Manufacturing and Environmental Initiatives
M-KOPA is also committed to local production and environmental sustainability. The company has established the first and largest smartphone assembly factory in Kenya, producing more than 1 million locally assembled phones. This local manufacturing initiative not only reduces the cost of access but also creates employment opportunities while contributing to a greener supply chain.
Looking ahead, M-KOPA plans to reduce its carbon footprint by focusing on circularity in its smartphone supply chain and expanding its portfolio of green products. One key area of innovation is the development of electric motorbikes, which will further contribute to the sustainability and health of the communities where the company operates.
Expanding Opportunities for Women and Communities
Recognizing the importance of gender equity, M-KOPA is focused on increasing its percentage of female customers to 50%. This effort reflects the company’s broader mission to make digital financial services accessible to underserved populations, particularly women, who often face additional barriers to financial inclusion.
Additionally, M-KOPA is empowering entire communities by offering products and services that improve financial prosperity. As noted by Nena Sanderson, Chief Product Officer at M-KOPA:
“Our products and services build pathways to prosperity for our customers and agents, enabling them to overcome financial setbacks, generate income, and progress towards the futures they aspire to. Our impact extends beyond our customers, reaching their families and communities, and contributing to building a more sustainable world.”
Employment and Global Recognition
M-KOPA’s impact extends beyond just its customers. The company currently employs more than 3,000 staff and has a network of over 30,000 commission-based sales agents across its five major markets. These employment opportunities have not only boosted local economies but also contributed to M-KOPA’s recognition on the global stage.
M-KOPA has been listed by the Financial Times as one of Africa’s Fastest Growing Companies for the past three years and has also been recognized by Time Magazine as one of the 100 Most Influential Companies globally for the past two years.
A Vision for the Future
As M-KOPA continues to grow and impact millions of lives across Africa, the fintech remains dedicated to pushing the boundaries of financial technology, digital access, and sustainability. By expanding its product range, fostering gender equity, and pursuing green initiatives, M-KOPA is well on its way to shaping a more inclusive and prosperous future for Africa.