MTN Group and financial services provider MMI Holdings have said they are creating a new joint venture, aYo, to deliver micro-insurance solutions across Africa.
Insurance penetration is low in many African countries, and using the resources of MMI and MTN, aYo will improve this by offering “relevant, accessible and easy-to-use insurance solutions to consumers”, the companies said in a joint statement yesterday.
MTN chief digital officer, Herman Singh, said the deal will allow the telecommunications operator to further expand its mobile financial services offerings across its footprint.
MMI group chief operating officer Danie Botes said the tie-up will create new revenue streams for the insurer through finding opportunities in new markets and segments.
The aYo offering will be rolled out in a number of African countries from the end of 2016, the companies said.
The partnership comes as MTN ups its focus on the financial services sector.
Source: Daily Trust