MTN Mobile Money Uganda has just announced a reduction in its Mobile Money sending rates. This follows a similar move by Airtel Commerce Uganda Limited which trades as Airtel Money during the festive season.
The new rates apply to intra & extra transactions cutting across on-net & off-net transactions. This means that the rates are uniform & apply across all networks for transactions within & outside Uganda
The minimum sending rate is now UGX 100 & the maximum is UGX 1000 across various tiered transactions, ranging from UGX 1 up to a maximum of UGX 5,000,000 as seen below
Today is a good day to send some ka money to your loved ones. ❤️ For more information, visit https://t.co/zhe9ahzegm. #MTNMoMo pic.twitter.com/5psnUZZoMV
— MTN Uganda (@mtnug) January 7, 2023
Previously, standard rates applied on transactions via the *165# USSD option while those via the MTN MoMo app attracted half ratest. The rates will now be uniform across both options
Related
- MTN Uganda reduces mobile money withdraw charges
- Airtel Uganda reduces calls by 95% and data charges for those roaming in Africa and Asia
Why the reduction in MoMo rates
While Airtel Money also reduced prices which could have put pressure on MTN, other fintech firms like Chipper Cash, Wave among others have traditionally zero-rated such transactions with the exception of international transfers. This could also have played a role in forcing MTN to cut its rates to remain competitive.
Outside this, banks have also made a foray into the Mobile Money Space with zero-rating on some of their product offerings. As always, the consumer stands to benefit more with more competition and this is what seems to be at play
