President William Ruto has emphasized the transformative power of innovation while cautioning against potential risks during his speech at the Global World Summit in Dubai. Ruto emphasized the revolutionary impact M-Pesa has had on Kenya’s digital ecosystem, noting the significant difference it has made over the last 17 years.
President Ruto revealed, “When M-Pesa was launched, Safaricom Ltd faced opposition from the country’s banking sector. It was argued that Safaricom had embarked on banking activities without obtaining a banking license or adhering to banking regulations.”
Ruto mentioned, “It is wise to remain vigilant against any adverse implications, antisocial applications, and other threats caused by unregulated or careless exploration of unsafe, scientifically untenable, or theoretically unsound technologies.”
Ruto pointed out M-Pesa as an example of how innovation, if used responsibly, can be quickly accepted by businesses, leading to rapid growth in cashless transactions. He said, “Finally, Kenya was able to look to the future fearlessly, and M-Pesa became the renowned engine of commerce that is now enjoyed nationwide.”
M-Pesa, a mobile payment system that was launched in Kenya in 2007, has transformed the way people transact, allowing them to operate without physical currency and providing a market outside of the traditional retail banking system.
Ruto mentioned that M-Pesa records daily transactions of USD 1.2 billion and serves over 5 million enterprises and 61 million customers across eight countries. He believed M-Pesa was successful because of the constant effort to meet market needs by addressing problems with creative solutions to turn hurdles into opportunities.