Economy

Kenya Tops Nigeria in Mobile Money Transfers

Published

9 years ago

01/03/2017

Modupe Gbadeyanka

By Modupe Gbadeyanka

Latest data from Central Bank of Kenya has shown that Kenyans moved a record $33 billion via mobile money platforms such as Safaricom, Airtel or Mobikash in 2016, up from $27.8 billion from the previous year.

However, Nigerians moved N756 billion or $2.4 billion in the same period under review, though Nigeria surpassed Kenya using other electronic platforms.

It was gathered that despite the economic downturn in Nigeria last year, over N56 trillion, about $177 billion was moved through the electronic channels in the Nigerian financial system.

The surge in mobile money transactions in Kenya by about $6 billion consolidates the country’s global position in the use of the technology that has revolutionised its financial sector.

The volume of cash transacted on the platform surpasses Kenya’s 2017/2018 budget, which is estimated at 25 billion dollars, underlying the role of the service to citizens and the economy.

In 2016, mobile money use peaked at $3.1 billion per month in December, according to the regulator’s data, up from $2.6 billion last year.

Christmas and New Year festivities normally give mobile money use a boost as Kenyans send and receive various amounts of cash from their loved ones.

On the opposite, the least transactions during the period were carried out in January, with Kenyans moving $2.4 billion.

Kenyans on average transacted during the period $2.7 billion a month up from $2.3 billion in the previous year.

Kenyans use mobile platforms to perform a range of financial services that include making money deposits, remittance delivery, payment of bills, withdrawal of cash and access of micro-finance credit.

Therefore, mobile money has become a necessity in the lives of Kenyans. Many citizens are unable to operate without it.

In the period of review, according to the Central Bank, the number of mobile money subscribers hit 35 million from 31.6 million in 2015, which means only less than 10 percent of the country’s people has not subscribed to mobile money.

The number of agents during the period clocked 165,908 from 143,946 at the end of 2015 as the sector continued to be a key employer.

Monthly transactions similarly swelled considerably, with East African nation citizens making over 146 million transactions a month from 107 million in 2015.

Kenya has six mobile money service providers namely Safaricom, Airtel, Orange, Equitel, Tangaza and Mobikash.

Safaricom’s Mpesa is the most popular, carrying out over 90 percent of the transactions. The company last week partnered with its peers in Rwanda, Tanzania and Uganda to enhance use of Mpesa in East Africa, an indication of expected growth.

The apex bank’s figures paint a healthy picture of growth of mobile money but Treasury has warned that collapse of service poses fiscal risks to the economy since various financial products have been leveraged on the payment channel increasing linkage between the technology and the banking sector.

“If this system was to be compromised, the impact would be substantial considering the linkages and the corporate tax revenue for government. The financial and other institutions linked to this system would be susceptible,” notes Treasury in its budget policy statement for this financial year.

Analysts expect mobile money use to sustain growth in the coming years as companies continue to innovate, people go for paperless transactions and unsubscribed embrace the service.

In contrast to Kenya, mobile money is yet to catch on in Nigeria.

In 2016, N756 billion or $2.4 billion was transacted through the channel. The number of mobile money customers in the country as at the end of last year stood at 5.54 million that are being cared for by 23,877 agents working for 21 Mobile Money Operators (MMO).

Likewise, goods and services worth N759 billion had been paid for using the 112,847 active POS terminals across the country. Payments through e-bills channel had the lowest volume of transactions of one million. Total value of transactions done through e-bills channel for the whole of 2016 stood at N339 billion.

Payments through webpay for 2016 stood at N132.36 billion which was done in 14.09 million transactions. NIBSS said in 2016, it has processed 11.7 million cheques with a value of N5.8 trillion. Corporate cheques accounted for the largest chunk of this figure as 5.9 million Corporate cheques valued at N3.7 trillion had been processed during the year while 2.7 million individual cheques valued at N0.94 trillion was processed.

Nigeria however scored higher in other electronic platforms.

This is asides the cash transactions done over the counter in the banking halls.

Total transactions through electronic payment platforms such as Automated Teller Machines (ATMs), Point of Sale Terminals (PoS), web payments, online transfers and mobile money from January to December last year hit N56.886 trillion.

According to the Nigeria Inter Bank Settlement System (NIBSS) which records and settles all electronic transactions in the country, online payments through the NIBSS Instant Payment (NIP) recorded the highest value, accounting for 67 per cent of total value of transactions while ATMs had the largest volume of transactions.

The value of funds that changed hands through NIP stood at N38 trillion which was done in 154.5 million transactions. On a daily basis, an average of 422,142 transactions had been done through the NIP channel as more Nigerians adopt the cashless policy of the Central Bank of Nigeria.

Total bank accounts held in the country by banks at the end of 2016 rose to 96.22 million from 85.02 million in 2015, while active accounts rose from 58.97 million to 65.48 million by the end of last year.

NAN

Economy

NRS Launches Unified Tax ID System

Published

17 minutes ago

19/05/2026

Adedapo Adesanya

By Adedapo Adesanya

The Nigeria Revenue Service (NRS) has unveiled a unified Taxpayer Identification (Tax ID) system for all taxable persons across the country as part of efforts to strengthen tax administration and improve transparency.

The agency announced the development in a public notice issued jointly with the Joint Revenue Board (JRB) on Monday.

According to the notice, the initiative is backed by Sections 6, 7, and 8 of the Nigeria Tax Administration Act, 2025, which mandate every taxable person in Nigeria to obtain a Tax ID, in a wider move to expand the country’s tax base.

The NRS said the new framework is designed to create a centralised and harmonised taxpayer database that would enhance interactions between taxpayers and revenue authorities at both federal and sub-national levels.

“The Tax ID will serve as a single, unified identity for all taxpayers, enabling seamless interaction with tax authorities at both federal and sub-national levels. It is designed to consolidate taxpayer records, eliminate duplication, and ensure more efficient management of tax-related information,” the agency stated.

The revenue agency explained that the new system would simplify tax compliance procedures, including taxpayer registration, filing of returns, and payment processes.

According to the NRS, the framework is also expected to improve accountability and reduce leakages in tax collection by creating better visibility and tracking of taxpayer information nationwide.

“The initiative will simplify tax compliance processes, including registration, tax filing, and payment procedures. The system will improve transparency by enabling better visibility and tracking of taxpayer records while reducing leakages and improving accountability in tax collection. The framework will also harmonise taxpayer information across all levels of government,” the notice added.

The agency further disclosed that the new Tax ID system would replace the existing Tax Identification Number (TIN) Validation API currently used by Ministries, Departments and Agencies (MDAs), financial institutions, and other organisations for taxpayer verification.

Economy

OTC Securities Exchange Falls 1.31% as Key Stocks Decline

Published

3 hours ago

19/05/2026

Adedapo Adesanya

By Adedapo Adesanya

Three bellwether stocks weakened the NASD Over-the-Counter (OTC) Securities Exchange by 1.31 per cent on Monday, May 18.

This brought the NASD Unlisted Security Index (NSI) by 54.71 points to 4,133.70 points from 4,188.41 points, and shrank the market capitalisation by N32.73 billion to N2.473 trillion from N2.506 trillion.

Yesterday, FrieslandCampina Wamco Plc contracted by N12.45 to sell at N146.55 per share compared with last Friday’s closing price of N159.00 per share, Central Securities and Clearing System (CSCS) Plc declined by N2.34 to N70.00 per unit from N72.34 per unit, and NASD Plc lost 50 Kobo to trade at N34.50 per share versus N35.00 per share.

The trio overpowered the N5.56 gained Newrest Asl Plc. This stock ended the trading session at N61.15 per unit, in contrast to the previous session’s N55.59 per unit.

During the trading day, the volume of securities traded by investors slid by 56.1 per cent to 514,142 units from 1.2 million units, and the value of securities dropped 29.8 per cent to close at N17.4 million versus N29.8 million, while the number of deals jumped 12.5 per cent to 27 deals from 24 deals.

Great Nigeria Insurance (GNI) Plc remained the most traded stock by value on a year-to-date basis, with 3.4 billion units sold for N8.4 billion, followed by CSCS Plc with 60.8 million units exchanged for N4.1 billion, and Okitipupa Plc with 27.9 million units traded for N1.9 billion.

GNI Plc also ended the day as the most traded stock by volume on a year-to-date basis with 3.4 billion units worth N8.4 billion, trailed by Resourcery Plc with 1.1 billion units valued at N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units transacted for N1.2 billion.

Economy

FX Pressure Pushes Naira Lower to N1,373/$1 at Official Market

Published

3 hours ago

19/05/2026

Adedapo Adesanya

By Adedapo Adesanya

It was a horrible day for the Nigerian Naira in the different segments of the foreign exchange (FX) market on Monday, May 15, as its value further weakened against the United States Dollar.

In the black market window, the Naira lost N5 against the Dollar yesterday to sell for N1,390/$1 compared with the previous value of N1,385/$1, but at the GTBank forex counter, it remained unchanged at N1,383/$1.

In the Nigerian Autonomous Foreign Exchange Market (NAFEX), the Nigerian currency depreciated against the greenback by N2.66 or 0.19 per cent to sell for N1,373.70/$1 compared to last Friday’s rate of N1,371.04/$1.

Equally, it fell against the Pound Sterling in the same market segment by N9.05 to trade at N1,839.66/£1 versus N1,830.61/£1, and lost N5.42 on the Euro to close at N1,600.49/€1 versus N1,595.07/€1.

The performance of the local currency during the session indicates early worries despite all signals pointing to stability, amid improved Dollar sales by the Central Bank of Nigeria (CBN), with steady, higher oil receipts to bolster the nation’s reserves.

Activity at the market showed that turnover rose 57.3 per cent to $76.29 million on Monday from $48.49 million posted on Friday.

Over the weekend, S&P raised Nigeria’s credit ratings for the first time since 2012 and highlighted improved FX market liquidity and $10 billion turnover recorded in April 2026 as one of the major gains of the CBN-led FX reforms.

The agency said the liberalisation of the exchange rate has bolstered access to foreign currency and enabled a market-driven exchange-rate environment while supporting investor and consumer confidence.

Meanwhile, the cryptocurrency market was bullish on Monday as investors monitored developments in the Iran conflict and weighed the impact of surging oil prices on inflation and US interest-rate expectations.

Ethereum (ETH) gained 0.7 per cent to trade at $2,134.10, Cardano (ADA) rose by 0.6 per cent to $0.2515, Solana (SOL) expanded by 0.3 per cent to $85.11, Binance Coin (BNB) jumped 0.2 per cent to $643.29, TRON (TRX) increased by 0.03 per cent to $0.3565, and Bitcoin (BTC) advanced by 0.02 per cent to $76,912.12.

On the flip side, Dogecoin (DOGE) slid by 1.5 per cent to $0.1044, and Ripple (XRP) decreased by 0.5 per cent to $1.38, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) traded flat at $1.00 apiece.