ANNIVERSARY

M-Shwari disburses Sh430 billion loans in seven years

It has a customer base of 31 million, making NCBA Group the biggest lender in Kenya in terms of customer numbers

In Summary
  • 450,000 customers have saved an average of Sh8,981in M-Shwari Lock savings in one year
  • This means, customers have saved at least Sh4 billion in the kitty.
Customers queue outside an M-Pesa shop in Nairobi
Customers queue outside an M-Pesa shop in Nairobi
Image: FILE

Mobile lending service M-Shwari has disbursed at least Sh430.5 billion in past seven years, with customer deposits hitting Sh18.7 billion.

The service, which is a partnership between Safaricom Plc and NCBA Group has reached a customer base of 31 million, making NCBA Group the biggest lender in Kenya in terms of customer numbers.

Speaking at the commemoration of M-Shwari's seventh year, NCBA Group managing director John Gachora on Wednesday said the service has provided a convenient and secure solution and  contributed to the economy by promoting inclusion and empowering customers to effectively manage their cash flow.

''Kenyan households that use M-Shwari are better savers, maintaining at least one week of their home expenditures on M-Shwari lock savings”, Gachora said.

He said that M-Shwari Lock savings enables customers to save for a defined purpose and for a specified amount of time.

The lock saving feature on M-Shwari which was launched late last year has since attracted over 450,000 customers with the average lock savings being Sh8,981 for an average of 7.5 months.

This means, customers have saved at least Sh4 billion in the kitty.

We are particularly proud of the transformation witnessed among our M-Shwari customers with 42 per cent of all our loan disbursements being invested in business ventures,'' Gachora said.

As part of the celebrations, top M-Shwari customers have been awarded with deposits of Sh1,000 into their M-Shwari accounts while customers with outstanding loans between day 31 and 60 had a chance to repay within seven days and get a credit of Sh700 into their M-Shwari accounts.

"M-PESA aims to provide our customers will relevant financial solutions that create an impact in their daily lives. Our partnership with NCBA has enabled us to deliver M-Shwari as a revolutionary innovation that provides millions of Kenyans with formal access to credit and savings,'' Safaricom Plc CEO Michael Joseph said.