Mobile money and data have emerged as the lifeline in revenue growth for African-focused telecoms operators Vodacom Group and Airtel Africa across markets characterised by stiff competition and challenging regulatory regimes.
The two telcos this week released full year results for the year ended March 31 that show impressive growth in mobile money and data earnings amidst near flat increase in voice revenue.
South Africa-based Vodacom rode on its investment in Kenya's Safaricom, which is Africa's second biggest telco by market capitalisation, to grow its revenues by 4.8 per cent to $4.9 billion from $4.7 billion posted the previous year as the M-Pesa mobile money continued to gain traction in more markets.
On its part, Airtel Africa saw its revenues for the year increase by 11.2 per cent to $3.4 billion from $3 billion last year driven by 36.1 per rise in data revenue to $930 million from $683 million and 32.9 per surge in mobile money revenue to $311 million up from $234 million.
In East Africa, the company reported a nine per cent growth in revenue with all countries except Rwanda delivering double-digit revenue growth with performance improving in the last quarter largely as a result of an increase in voice and data customers in Tanzania, Uganda and Kenya.
