MTN Uganda reduces Mobile Money charges ahead of Christmas

MTN Mobile Money (MoMo) Limited Uganda has introduced new reduced sending rates across all networks in and outside the country, making sending money cheaper, affordable, and simpler.

In a statement, the company said the new MTN MoMo sending rates apply to three simple tiers for amounts being sent ranging from Ugx.1/= to Ugx.5,000,000/=.

MTN MoMo customers can now send money to MTN and other networks both local and international, at a uniform affordable rate ranging from only Ugx.100/= to Ugx.1000/= maximum.

For sending between Shs1 and Shs5,000, one will only be charged Shs100; while a charge of Shs500 will be incurred for sending money in the range of Shs5001 and Shs60,000. For sending between Shs60,001 and Shs5000,000, one will be charged Shs1,000

“The new reduced rates apply to both transactions performed through USSD *165*1# as well as the MTN MoMo App,” MTN said.

 This comes days after Airtel Mobile Commerce Uganda Limited (AMCUL) announced a 95% drop in Airtel Money charges for transactions across other networks. It will now cost the same (UGX1000/-) to send money from Airtel to other networks in Uganda and to Airtel customers in East Africa.

Airtel Mobile Commerce Uganda Limited (AMCUL) Managing Director, Japheth Aritho said, “Interoperability has been a challenge to the growth of Digital financial inclusion. We made a pledge to build a sustainable business that shares value within the community. This price reduction is informed by our commitment to build Uganda and Africa, our home.

Aritho added, “AMCUL’s mandate is to offer affordable and borderless transactions in Uganda and across the globe via the Airtel Money platform. We are pleased to announce up to 78% reduction in charges for global transactions as we continue to reduce barriers to financial inclusion.”

A customer sending One million to Airtel Kenya will now pay UGX 1000/= instead of the UG 52,100/= making huge savings from the reduced charges. This gives value to the customer and makes Uganda competitive.

According to a Market Research Report (2017) by Financial Sector Deepening Program (FSDP), the demand for interoperability by end users of financial services was high, even though faced with high charges. Most respondents indicated sending (98%) and receiving (97%) money across networks (off-net) as being important or necessary.