M-Pesa agents to benefit more as tariffs change

M-Pesa agents will be the greatest beneficiaries of the Safaricom move to revise upwards its money transfer tariffs. A communication sent by Safaricom to its agents on February 28, 2012, shows that agent commissions on customer deposits have almost tripled. “As a result deposit commissions have increased by 12 per cent to 170 per cent across the bands,” an e-mail statement sent to agents by Safaricom head of consumer sales, Mr Nicholas Mruttu, read in part. Agents who handle deposits worth Sh70,000 will get a commission of Sh190 up from Sh70 while those who handle deposits of Sh10,000 will make Sh28 up from Sh18. “We have adjusted our agents’ commission structure in order to help address the issue of insufficient float that has plagued some elements of the market,” Safaricom CEO, Bob Collymore told Saturday Nation through e-mail. The new commissions could make the 35,350 M-Pesa agents in the country better paid than most of their peers. YuCash agents get a maximum commission of ShȦ as do agents for cross-network mobile money provider Tangaza. An indication that the company could be moving to ring fence its agents in light of increased competition from other companies and also the banks rolling out agency banking. This will however, cost senders more with tariffs going up by between 33 and 150 per cent. Withdrawal commissions have remained constant or been reduced by as much as Sh100. The new commission structure is in keeping with Safaricom’s new M-Pesa tariff.

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About ngethenjoroge

Techpreur
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One Response to M-Pesa agents to benefit more as tariffs change

  1. Hellen Omuse says:

    This is great.

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