Safaricom Migrates M-PESA to Fintech 2.0, Targets 10,000 Transactions per Second

Nairobi, Kenya — 2025-09-19 17:30 EAT. Safaricom has launched a major upgrade of its M-PESA mobile money platform, unveiling Fintech 2.0, a next-generation system designed to process over 10,000 transactions per second with near-perfect service availability.

The Latest

At the Michael Joseph Centre in Nairobi, Safaricom Chief of Financial Services Esther Waititu said the overhaul was driven by surging transaction volumes and the need for real-time scalability.

“Fintech 2.0 is built on microservices and cloud architecture, enabling us to update systems independently, scale instantly, and integrate AI-driven fraud detection without service interruptions,” Waititu explained.

The platform is already live, handling double M-PESA’s previous capacity while maintaining 99% uptime.

Context & Background

M-PESA, launched in 2007, now processes 4,400 transactions per second on its legacy system but faced bottlenecks during peak hours. Safaricom says Fintech 2.0 addresses this through:

• Microservices: Modular architecture for faster upgrades

• Cloud computing: Shorter settlement times, higher availability

• AI & ML: Automatic fraud detection, personalised spending insights

The shift also positions M-PESA to compete with global digital wallets while supporting the government’s digital financial inclusion agenda in rural Kenya.

Law, Policy & Market Implications

• Data security: AI-based fraud detection aligns with Kenya’s Data Protection Act.

• Central Bank oversight: CBK expected to issue guidance on AI and mobile finance compliance.

• Financial inclusion: Platform supports state-backed programmes like Hustler Fund and UHC health insurance premiums via mobile payments.

Voices & Stakeholders

• Esther Waititu, Chief of Financial Services, Safaricom:

  “We now have the infrastructure to deliver micro-savings, insurance, and merchant credit products with instant settlement.”

• Dr. Samuel Mugo, ICT Economist:

  “Fintech 2.0 brings Kenya closer to global payment standards while retaining M-PESA’s dominance in East Africa.”

• Central Bank Official (anonymous):

  “We expect this to reduce systemic risk and boost digital payment adoption nationwide.”

Evidence & Data Box

• Legacy M-PESA capacity: 4,400 transactions/sec

• Fintech 2.0 capacity: 10,000+ transactions/sec

• Availability target: 99% uptime

• New products: Micro-savings, insurance, SME credit

Risks & Implications

• Cybersecurity: AI reduces fraud risk but creates new data privacy concerns.

• Digital divide: Rural uptake depends on network expansion & smartphone penetration.

• Regulation: Lawmakers may tighten fintech oversight as platforms scale.

What We Don’t Know

• When will merchant credit products officially launch?

• How will AI tools interact with CBK’s anti-money laundering framework?

• Will transaction fees change after the upgrade?

Timeline

• 2007: M-PESA launched in Kenya

• 2019: Safaricom migrates servers from Germany to Nairobi

• 2025-09-19: Fintech 2.0 officially launched in Nairobi

What to Watch

• CBK guidelines on AI use in financial services

• Launch dates for micro-savings & insurance products

• Impact on mobile lending & SME financing ecosystem