MTN Uganda Completes Strategic Separation of Mobile Money Business: A Bold Step into Uganda’s Digital Future

22nd July 2025 marked a landmark moment in Uganda’s financial and digital landscape as MTN Uganda shareholders unanimously approved the structural separation of MTN Mobile Money Uganda Limited (commonly known as MTN MoMo) from the core telecommunications business. This move formalizes the transformation of MoMo from a product to a fully independent fintech entity—poised to redefine digital and financial inclusion across the country.

From Product to Powerhouse: MTN MoMo’s Journey

Launched as a mobile money service over a decade ago, MTN MoMo has grown into a vital part of everyday life for millions of Ugandans. It now facilitates seamless money transfers, business transactions, utility payments, school fees, savings, insurance, and much more. With over 20 million registered users and a vast agent network across the country, MoMo has bridged financial gaps in both urban and rural communities—empowering individuals, small businesses, and institutions.

“MoMo is no longer just a product. It powers businesses, connects families, and gives millions of Ugandans access to essential services they never had before,” remarked Dr. Charles Mbire, MTN Uganda Chairperson and Non-Executive Director, as he addressed stakeholders during the pivotal shareholders' meeting.

The move to structurally separate MTN MoMo into an independent financial technology (fintech) company aligns with MTN Group’s broader Ambition 2025 strategy, which aims to position MTN as a leading digital platform player in Africa. Across markets such as Ghana, Nigeria, and South Africa, the structural separation of fintech operations has already proven to accelerate innovation, compliance, partnerships, and regulatory clarity.

Sylvia Mulinge, CEO of MTN Uganda, emphasized the strategic significance of this development:

“MTN MoMo is now a standalone fintech entity. This isn’t just a technical milestone. It’s a strategic shift. A bold new chapter. One that positions us to drive digital and financial inclusion in Uganda even further and faster.”

The separation of MoMo unlocks new potential for Uganda’s fintech ecosystem. As a licensed and autonomous entity, MTN Mobile Money Uganda Limited can now: 

Innovate faster by partnering with third-party financial service providers and developers.

Comply more efficiently with evolving Bank of Uganda regulatory frameworks.

Access capital and investments tailored to fintech-specific growth.

Build trust through stronger governance and risk management structures.

In essence, MTN MoMo is now equipped to serve not just as a mobile wallet but as a full-fledged financial platform—offering tailored digital financial products and expanding reach beyond traditional mobile users.

While the structural separation introduces a new business model, MTN Uganda will maintain a strong collaborative relationship with the MoMo business through commercial agreements for distribution, platform hosting, and customer access.

The evolution is expected to have a net-positive effect on MTN Uganda’s brand and shareholders, as it aligns with the increasing demand for specialized, secure, and scalable digital services in Africa’s fast-growing fintech space.

MTN’s bold move reflects the broader national and continental ambition to bridge the digital divide. By fostering innovation and providing access to affordable, reliable financial services, MTN MoMo is set to play a crucial role in achieving Uganda’s Vision 2040 and the Sustainable Development Goals (SDGs), particularly on poverty reduction, decent work, and economic growth.

As Uganda continues to leapfrog into a digitally inclusive future, the transformation of MTN MoMo into a standalone fintech entity marks not just a shift in business structure—but a shift in possibility.