Nairobi, March 16 (Xinhua) — Chinese technology helps Kenya’s mobile payment platform go global
As one of Kenya’s most representative digital innovation achievements, the well-known mobile payment platform M-Pesa has developed into a comprehensive system that empowers millions of people in Africa and even globally to access inclusive financial services since its launch. During this process, the deep involvement of Chinese technology, hardware equipment, and professional knowledge provided strong support for its global expansion.
M-Pesa was jointly launched by Kenya’s largest telecommunications operator, Safari Communications, and British multinational telecommunications giant Vodafone in 2007. According to the latest data from Safari Communication Company, the platform currently has over 60 million monthly active users.
It is reported that Safari Communications has chosen Chinese technology company Huawei as its main upgrade partner for its mobile payment system. With the technical support of Huawei, the infrastructure of the system has been comprehensively improved, not only achieving efficient processing of massive transactions, but also successfully launching diversified new businesses such as real-time bill payment.
It is worth mentioning that in 2015, with the assistance of Huawei, M-Pesa’s core servers were successfully migrated from Germany to Kenya. Bernard Mwaso, a senior information technology consultant in Nairobi, said in an interview with Xinhua News Agency that the localization deployment of servers is a key measure to stabilize the platform’s operation and accelerate its business growth.
The cross-border deployment of servers has led to long response times for failures, seriously affecting user experience, “said Mwaso. After completing the localization migration, M-Pesa experienced explosive growth, rapidly expanding its business scope to banking and global transfers.
During a visit to the capital Nairobi, reporters found that Chinese brands such as Transsion and Xiaomi dominate the market with their extremely high cost-effectiveness. Some basic models have rich functions, but the price is as low as 4000 Kenyan shillings (about 210 yuan). As a result, the penetration rate of smartphones in Kenya has greatly increased, allowing millions of people to cross the “digital divide” and conveniently use online shopping and mobile financial services, directly driving the user growth of M-Pesa.
Nairobi graphic designer Beatrice Nguiri told reporters, “I currently use a Chinese brand mobile phone that sells for about 640 yuan. Not only do I use it for online shopping and part-time jobs, but I can also obtain small loans through mobile applications. The part-time income and loans will be directly transferred to my M-Pesa account, which is extremely convenient
Italian scholar Andrea Polio pointed out in her recent monograph on technology capital and Nairobi’s digital economy that although M-Pesa’s success is attributed to its well-developed financial infrastructure and extensive offline proxy network, the high accessibility of Chinese smart devices has played a crucial role. These devices directly promote the flourishing development of pay as you go mechanisms, gig economy platforms, and more.
In addition, M-Pesa’s leap to the global digital payment network also benefits from its deep connection with Alipay, WeChat payment and other Chinese digital payment platforms. This cross-border cooperation effectively eliminates the tedious foreign exchange process, enabling Kenyan users to easily participate in international e-commerce and further consolidating M-Pesa’s international payment capabilities.
Mwaso stated that the deep integration with mature global networks ensures the security and compliance of M-Pesa’s cross-border transactions. With these collaborative mechanisms, Kenyan consumers and businesses can deeply participate in global e-commerce without relying on credit cards or complex traditional banking systems. Local freelancers can also conveniently provide services to global businesses and securely earn rewards, “he said.