Tigo Tanzania announces $2.1m payment to mobile money subscribers

Details: Tom Jackson; Category: Mobile Finance; 17 January 2016; 7326 views

Mobile operator Tigo Tanzania has announced its seventh quarterly payment in a row of US$ 2.1 million to its 4.6 million Tigo Pesa users.

Tigo claims it as evidence the company is distributing profit to its mobile financial services users. The payment is generated from profit accruing in the Tigo Pesa Trust accounts held with major commercial banks in Tanzania.

Tigo Tanzania head of finance and risk for Mobile Financial Services Obedi Laiser said the company has so far paid its mobile financial services users a total of US$16.5 million since September 2014.

The revenue share model adopted by the operator is in line with the Tanzanian central bank’s regulations allowing the country’s mobile operators to increase e-money deposits and mobile money transactions through loyalty incentives.

“This profit share is payable to all Tigo Pesa users including individual customers, retail agents and our business partners each based on the e-value they have stored in their Tigo Pesa wallets,” Laiser said.

“We are really excited to be announcing this profit share distribution for the seventh successive time. The payment underlines Tigo Tanzania’s commitment to provide financial access to our customers and to promote financial inclusion in the country through our Tigo Pesa services.”