MTN Nigeria is reshaping its financial technology strategy following a steep 55.6 per cent year-on-year drop in active mobile money (MoMo) wallets, as the company shifts focus toward long-term sustainability, high-value users, and rural financial inclusion.
According to MTN’s unaudited first quarter of 2025 financial report, active MoMo wallets dropped to 2.1 million, down from 4.8 million in the first quarter of 2024, and representing a 25 per cent decrease from the 2.8 million recorded in the fourth quarter of 2024.
Despite this sharp decline, MTN maintains that the reduction is the result of a deliberate strategic pivot aimed at enhancing the overall health of its fintech ecosystem.
“This enabled us to onboard more high-value customers and improve float levels, thereby enhancing the overall health and sustainability of the ecosystem,” the company said in a statement.
MTN Nigeria CEO Karl Toriola announced a major rural-focused initiative that will drive the company’s renewed commitment to financial inclusion. The initiative involves increasing investments in field acquisition efforts to onboard users in underserved and rural communities.
“We are now prepared to invest and intensify qualitative field acquisition efforts, particularly in rural and underserved areas,” Toriola stated. “These efforts are aligned with our strategic objective to build a more robust, inclusive, and scalable digital financial ecosystem.”
While the number of active wallets declined, MTN reported strong growth in its agent and merchant networks, indicating increased reach and service capabilities:
This expansion supports MTN’s goal of building a broader base for digital transactions and onboarding new customers in untapped markets.
Despite the wallet reduction, MTN’s fintech revenue soared by 57.9 per cent, climbing from N22.8 billion in the first quarter of 2024 to N36 billion in the first quarter of 2025.
The growth was largely fueled by the company’s airtime credit service, Xtratime, and increased float income from the onboarding of high-value users.