Could MTN MoMo Become a Bank in Zambia? What MTN’s New Strategy Means
MTN Group is considering applying for banking licences in selected African markets as it looks beyond mobile-money transfers and towards direct lending.
MTN Group chief executive Ralph Mupita said on 25 August 2026 that lending had become one of the company’s fastest-growing financial services. A banking licence could allow MTN to accept deposits and lend customers its own money instead of depending entirely on banks and other financial partners. Reuters
However, MTN has not announced that it is applying for a banking licence in Zambia. The company says it will consider markets with large customer bases and substantial amounts held in mobile-money wallets.
MoMo already feels like a bank
Many Zambians already use MTN MoMo to store money, transfer funds, pay bills and buy airtime. MTN says its service has more than five million users in Zambia.
Credit is also available through Kwanisa Na MoMo, but MTN does not presently provide that overdraft itself. Its published terms identify JUMO as the financial-service provider. JUMO determines the customer’s limit and charges an access fee and daily interest. MTN Zambia’s product terms
A banking licence could change this arrangement by allowing MTN to finance some loans directly.
What could change for you, me and customers?
If Zambia were selected, MTN could potentially introduce more savings, credit and merchant-financing products within MoMo. Customers might receive faster loan decisions because transaction history can help assess affordability.
Competition with banks could also improve access for people without conventional bank accounts.
The risks are equally serious. Easy borrowing through a phone can make debt feel deceptively harmless. Customers would need clear information about interest, access fees, repayment periods and what happens after default.
MTN would also carry greater responsibility for protecting deposits, managing credit losses and complying with Bank of Zambia requirements.
For now, MTN MoMo is not becoming a Zambian bank. The group is only examining the possibility in selected markets. But its direction is clear: mobile money is moving beyond sending cash. The phone in your pocket is gradually becoming a bank branch—minus the queue and the pen tied to a string.