Mukuru transformation to deepen financial inclusion

Business Reporters

Mukuru Financial Services is undergoing a major transformation to expand its reach and redefine financial inclusion across the African continent.

“Our mission is clear; to empower people with accessible, secure and convenient financial solutions,” Mukuru chief executive Mr Graig Tait-Knight said in interview with The Herald Finance & Business this week.

“By owning our depots, we are ensuring unparalleled control over the customer experience. This is about more than just transactions, it is about trust, reliability and innovation,” he added.

Mukuru’s recent acquisition of a deposit taking microfinance institution licence marked a significant milestone, solidifying its position as a leading financial services provider, Mr Tait-Knight said.

This would enable Mukuru to offer a digital store of value, expanding its services beyond traditional cash-based remittances.

“This licence is a game-changer,” Mr Tait-Knight said. “It allows us to offer our customers a secure digital wallet where they can save, transact and manage their money effortlessly. It is a natural progression from our existing services and a significant leap forward in financial inclusion.”

The digital wallet eliminates the need for costly and time-consuming trips to collection points, providing a secure and convenient alternative.

Mr Tait-Knight said customers can now access their money without the risks associated with carrying cash.

“And from this wallet, they can pay for essential services like DSTV, airtime and electricity services that are already live and making a real difference.”

With a network currently split 60 percent urban and 40 percent rural, Mukuru is focused on expanding its reach to underserved rural areas.

“We have designed our services to be accessible to everyone,” Mr Tait-Knight explained.

“For those without smartphones, USSD (Unstructured Supplementary Service Data) technology ensures they are not left behind. And as digital adoption grows, we are exploring innovative solutions like satellite internet to ensure connectivity, no matter how remote the location.”

Mukuru will also be leveraging artificial intelligence (AI) to combat money laundering and enhance compliance with regulatory standards.

According to Mr Tait-Knight, AI plays a crucial role in identifying suspicious transactions and verifying customer profiles.

“Artificial Intelligence is already being used from a compliance point of view, enabling us to identify individuals’ profiles, ensuring they are who they say they are, and confirming that transactions are reasonable,” Mr Tait-Knight said.

The proactive approach will ensure Mukuru’s platform does not pose a risk to national financial systems, reinforcing trust and security.

In addition to combating money laundering, Mukuru is exploring the use of AI to facilitate credit ratings for customers.

He said the potential of AI to streamline credit assessments, saying: “There is a large opportunity in using artificial intelligence to assess credit availability for individuals,” he said.

Through analysing transactional data and customer behaviour, AI can help create more accurate credit profiles, allowing Mukuru to extend financial services to underserved communities. This aligns with their broader mission of promoting financial inclusion across Africa.

Through reducing the need for physical visits to branches, Mukuru will leverage AI to provide efficient, user-friendly services, further solidifying its position as a leader in innovative financial solutions across the continent.

“Our goal is to provide financial services to everyone, from urban centres to the most rural villages. If there is demand, we will be there,” he affirmed.

As Mukuru enters the deposit-taking sector, it is poised to outpace competitors with its customer-centric approach. “Our strategy is simple; send, store, spend,” Mr Tait-Knight said.

“We are already trusted in remittances. Now, we are empowering our customers to store their funds securely and use them flexibly, whether it is for bills, airtime, or other essentials.”

Mukuru’s digital wallet is designed with the informal economy in mind, offering a lifeline to those excluded from traditional banking.

“Our platform ensures that customers can access their money when they need,” Mr Tait-Knight said.

Credit, often inaccessible in rural areas, is a key focus for Mukuru’s financial inclusion strategy.

“We are uniquely positioned to provide secure, affordable credit solutions to underserved communities.

“This is about levelling the playing field and giving everyone a fair shot at financial stability,” he said.

With its bold vision, innovative technology, and unwavering commitment to its customers, the company is setting a new standard for financial inclusion in Africa.

“Our proprietary network, digital solutions, and relentless focus on customer needs are what set us apart,” Mr Tait-Knight said. “This is the future of financial services, and Mukuru is proud to lead the charge.”