M-PESA Calls Foul On Limited Access To New App

Vodacom Group to buy out Kenyan government’s 15pct stake in Safaricom

Safaricom-affiliate M-PESA Ethiopia has lodged complaints with the authorities, alleging that its new financial services app has been disabled by state-owned operator Ethio telecom.

M-PESA Lehulum, a telecom agnostic customer-centric financial services app that allows any Ethiopian to transact on Safaricom’s M-PESA mobile money platform, was launched on December 1.

This mobile application can be downloaded from any telecommunication network and provides simple and secure access to digital financial services. The app is designed to work with any SIM card, without SIM and across any telecom platform. Onboarding is through Fayda National ID’s eKYC system.

The app is a rival to Ethio telecom’s massive Telebirr platform, and observers say the state-owned operator is likely concerned that M-PESA might erode its customer base.

A public statement issued by M-PESA on Friday December 5, 2025, reads “We would like to inform the public that M-PESA Lehulum is currently not accessible on smartphones using mobile data services managed by Ethio telecom, leaving our customers unable to log in, transact, or retrieve their funds.”

The app is fully approved by the regulator, the National Bank of Ethiopia and INSA, according to the statement.

M-PESA Ethiopia is a stand-alone legal entity duly registered in Ethiopia and holder of a payment instrument issuer license from the central bank.

“We would like to confirm that our team is working diligently to maintain access to M-PESA Lehulum and restore full digital reachability as quickly as possible. We are actively engaging with regulators to resolve the matter urgently and remain committed to protecting your freedom of choice as well as ensuring uninterrupted access to the digital and financial tools that you rely on,” reads the statement.

The Ethiopian Communications Authority, Ethio telecom, and the NBE have yet to issue an official response to the statement.

M-PESA’s troubles come following a September report from the World Bank highlighting unfair practices in the Ethiopian telecom sector and accusing Ethio telecom of undercutting the competition.

The app’s launch also coincides with news that Vodacom Group Limited is buying out the Kenyan government’s 15 percent ownership stake in Safaricom for a reported USD 1.6 billion.