How Africa can leverage telecom systems to drive financial inclusion

African telecoms giant, MTN, is actively involved in pushing the agenda of financial inclusion and digital connectivity forward on the continent. MTN CEO, Ralph Mupita, recently shared insights from the ongoing Commonwealth Business Forum in Kigali, shedding light on the critical role of telecom systems in driving financial inclusion. The forum highlighted the need for a global reset, acknowledging the evolving business landscape and the impact of inflation risks on economies worldwide. Mupita emphasized the importance of navigating through a period of uncertainty, where opportunities lie in leveraging technology and innovation to address financial inclusion challenges. Governments have shown commitment to fostering financial inclusion, with a focus on reaching the unbanked population through partnerships with telecom companies. By expanding the ecosystem and creating critical scale, private capital investments can drive employment and contribute to economic growth. MTN aims to achieve 100 million users and 5 million active agents to facilitate financial inclusion across its markets. The company is also prioritizing the rollout of 5G networks to enhance connectivity and accelerate smartphone penetration. However, challenges remain in making data-capable smartphones more affordable for the African market. MTN is exploring device financing options and partnerships with OTTs to address this hurdle and ensure widespread internet access. With a strategic focus on innovation and collaboration, MTN is poised to play a significant role in bridging the digital divide and advancing financial inclusivity in Africa.