Uber and Safaricom have joined forces to introduce a new payment option for Uber riders in Kenya. As part of their collaboration, customers can now pay for their trips through Safaricom’s widely used mobile money transfer platform, M-PESA.
This move comes after a successful arrangement between Safaricom and UberEats, enabling consumers to pay for deliveries using M-PESA, and delivery personnel to receive their earnings through the platform.
The latest venture is especially beneficial for Uber drivers who do not have bank accounts, as Uber’s data indicates that approximately 20% of their drivers in the region fall into this category. By integrating M-PESA for trip payments, Uber aims to enhance convenience and accessibility for riders on their platform.
M-PESA, which began as a simple money transfer service over a decade ago, has evolved into a versatile financial tool, contributing nearly half of Safaricom’s revenue. Users now rely on M-PESA for shopping, savings, loans, and insurance services.
The platform’s popularity has made it the preferred choice for cashless payments in Kenya, surpassing traditional card payments. Peter Ndegwa, Safaricom’s Chief Executive Officer, emphasized the significance of the partnership with Uber, stating that it will provide thousands of drivers and delivery personnel, along with millions of customers, a fully digital solution with faster, secure, affordable, and convenient payments through M-PESA.
M-PESA’s growth has been remarkable, making it the largest payments platform in Africa with over 40 million users and processing more than a billion transactions every month. This successful collaboration between Uber and Safaricom aims to promote financial inclusion and provide value and opportunities to their customers in line with their shared vision to transform alives.