M-Pesa, the mobile money platform utilized by over 32.1 million Kenyans, is venturing into a new direction within the payments landscape.
Through a collaboration with payments giant Visa, M-Pesa is set to introduce tap-to-pay capabilities, building on its previous partnership with Visa that led to the M-Pesa GlobalPay Visa Virtual Card. This card enabled secure international shopping for over 30 million M-Pesa customers. Now, M-Pesa aims to extend beyond the virtual realm, targeting the cash-centric retail sector.
The move comes on the heels of M-Pesa achieving Payment Card Industry Data Security Standard (PCI DSS) Certification, a globally recognized data security standard for companies processing card transactions. This certification positions M-Pesaas a secure facilitator of payments, aligning with its ambition to evolve from a telecommunications company to a technology-focused entity by 2025.
The tap-to-pay solution not only allows customers across the eight countries where M-Pesa operates to make payments but also empowers merchants to receive payments seamlessly. This development benefits visitors with cards, as they can leverage M-Pesa for payments and extend card solutions to other financial technology companies. For Visa, this collaboration represents a valuable partnership with a substantial user base.
M-Pesa's PCI DSS clearance not only signifies a significant milestone for the company but also aligns with its vision to become a global payment facilitator for major partners such as Google, Uber, and Microsoft. In addition to tap-to-pay, the accreditation enables M-Pesa retailers to accept card payments from Safaricom customers in both online and in-person transactions.
With the obtained certification, M-Pesa may enhance API functionality, aiming to attract more developers to the platform. This strategic move positions M-Pesa as a comprehensive mobile and card payment solution provider for fintechs and financial institutions.
