The International Finance Corporation (IFC) signed a new cooperation agreement with Vodafone M-PESA Mozambique. The agreement aims to explore opportunities for expanding Vodafone's mobile payment services into rural areas, benefiting small-scale farmers.
The telecommunications operator aims to venture into the agricultural sector, which is predominantly composed of small-scale farmers (representing 95% of the country's total agricultural production) and relies heavily on cash payments. Through this partnership, Vodafone will extend its mobile payment activities to Mozambique, where approximately 40% of adults have a mobile money account.
In this East African country, the plan is to digitize agricultural value chains, starting with payments received for produce and gradually introducing more sophisticated products such as agricultural insurance.
Beyond the agricultural sector, the advisory services provided by the IFC will help the telecommunications operator reorganize and strengthen its network of agents, as well as train its commercial team and mobile money agents. The international financial institution will also assist in expanding Vodafone's strategy for acquiring and managing merchants in various regions of Mozambique.
It's worth noting that this agreement follows a previous collaboration between the IFC and Vodafone M-PESA Mozambique in 2018.
