Orange Money partners JUMO to offer microloans across Africa
The financial services branch of Orange S.A., a leading telecom company from France, is joining forces with the South African fintech JUMO to introduce mobile-based microloans across Africa.This initiative will be rolled out in Burkina Faso, Mali, and Botswana, enabling users to apply for and receive loans directly through their Orange Money wallets—removing the necessity for traditional bank visits or extensive paperwork.
JUMO specializes in digital lending infrastructure for emerging markets, employing algorithmic models to evaluate creditworthiness based on customer behaviors such as spending patterns, savings habits, and mobile top-ups. The fintech firm, which has garnered investment from companies like Goldman Sachs, has previously collaborated with MANSA Bank and MTN in Côte d'Ivoire to assist small businesses with digital loans.
This partnership signifies a broader shift in Africa's mobile ecosystem. Telecom giants like Orange are increasingly establishing themselves as providers of financial services, capitalizing on their extensive user bases and high transaction volumes to deliver savings, loans, and payment solutions. In 2024, Orange alone processed over $184 billion in mobile money transactions within its customer network of 100 million.
“By combining Orange’s vast scale with JUMO’s intelligent lending capabilities, this partnership aims to offer accessible and low-risk credit to those without bank accounts,” industry experts observe.
The agreement between Orange and JUMO is part of a larger trend. Throughout the continent, telecom companies are broadening their reach in fintech. MTN's MoMo is testing lending services in East Africa, while Safaricom in Kenya has recently introduced an overdraft facility in Ethiopia through M-PESA and Awash Bank. Furthermore, Airtel Money has also progressed, unveiling a virtual card in collaboration with Mastercard and launching a partnership in July with Tanzania’s Cooperative Development Commission to offer financial resources to farmers.
Telecom operators in Africa are evolving from merely selling airtime to becoming influential players in the financial sector. As they expand into digital lending and financial services, they are transforming the way millions of Africans manage and access their finances.
Leave A Comment