Mukuru, one of Africa’s largest cross-border fintech platforms, is winding down its operations in Eswatini by June 30, 2025, marking a surprising retreat from a market where digital banking adoption is being aggressively promoted by regulators.
The Central Bank of Eswatini (CBE) confirmed the move in a public notice, stating that Mukuru Financial Services (Pty) Limited would cease all transactions after the deadline. The regulator emphasized that the shutdown would be “orderly” and supervised to ensure compliance and customer protection.
“Customers should present their claims for inward payments before June 30, 2025, at Mukuru’s branches in Manzini or Mbabane,” the CBE said. “Pending transactions will not be processed after this date.”
The decision comes despite Mukuru’s broader expansion across Africa, where it serves 17 million users and processes up to $4 billion in annual payments. The Zimbabwe-founded firm has been a key player in Africa’s remittance and mobile money boom, capitalizing on the continent’s rapid digital financial services growth.
A Strategic Retreat Amid Regulatory Shifts?
Mukuru’s exit coincides with tightening regional payment regulations, particularly in the Common Monetary Area (CMA), where South Africa, Namibia, Lesotho, and Eswatini share monetary policies. Last year, the South African Reserve Bank (SARB) reclassified low-value electronic fund transfers (EFTs) between CMA countries as cross-border transactions, imposing stricter anti-money laundering (AML) checks.
This shift disrupted seamless digital payments, forcing banks and fintechs to adjust. While Mukuru did not explicitly link its Eswatini exit to these changes, industry analysts suggest compliance costs and operational hurdles may have played a role.
“Africa is a large continent with 54 countries. Mukuru is present in most of them. Coping with the multiple jurisdictions can be hard and costly especially with regulations,’’ an African fintech expert told Launch Base Africa. “The matter is even worse for smaller markets like Eswatini, where we have the likes of MTN Momo and other local competitors.”
Mukuru’s departure contrasts sharply with Eswatini’s push for digital banking. In December 2024, the CBE invited applications for digital banking licenses, aiming to boost financial inclusion in a country where traditional banks struggle to reach rural populations.
The central bank introduced a two-tier licensing system, requiring digital banks to maintain at least E30 million ($1.7 million) in capital and adhere to strict cybersecurity and AML protocols. Foreign investors were also encouraged, though ownership was capped at 49%.
Despite these efforts, uptake has been slow. Only a few institutions, including MTN Eswatini’s fintech arm, have launched digital payment services. The telecom giant recently debuted cross-border remittances, earning praise from CBE Deputy Governor Felicia Dlamini-Kunene for improving affordability and accessibility.
Mukuru’s retrenchment highlights persistent challenges for African fintechs, including regulatory fragmentation and high remittance costs. While mobile money thrives in East and West Africa — with Sub-Saharan Africa accounting for 50% of global mobile money accounts — Southern Africa’s stricter banking regulations have slowed fintech penetration.
Andy Jury, Mukuru’s CEO, previously acknowledged the difficulties of scaling across Africa’s “54 nation-states,” citing interoperability gaps and compliance burdens. The firm continues to expand elsewhere, recently launching digital wallets in Zimbabwe and Malawi.
For Eswatini, Mukuru’s exit raises questions about its attractiveness as a fintech hub. While the CBE remains optimistic about digital banking’s potential, the departure of a major player underscores the hurdles in balancing innovation with regulation.
As the June 2025 deadline approaches, Mukuru’s customers in Eswatini will need to find alternatives — a reminder that even in Africa’s booming fintech sector, not all markets are equally viable.