MTN Group and MMI Holdings, a financial services provider, have both on Wednesday announced the creation of a new joint venture, branded aYo, to provide micro-insurance solution across Africa.
The two companies said this was in response to low insurance penetration in many countries across Africa.
And utilising the resources and capabilities of each companies, aYo is envisaged to be able to improve this to offer relevant, accessible and easy to use insurance solutions to consumers.
Herman Singh, group chief digital officer of MTN, said they were excited about the partnership, as it gave them an opportunity to further expand their bouquet of mobile financial services offerings across its footprint.
“Working with MMI, and harnessing the rapid growth of mobile on the continent, we will be able to leverage our core competencies, strong brands and scale to deliver much-needed insurance solutions to our customers,” Singh said.
Danie Botes, group chief operating officer of MMI Holdings, said the partnership would allow them to further extend their client-centric vision of financial wellness across the Africa continent.
“This partnership with MTN will create new revenue streams for MMI, help achieve significant scale, explore opportunities in new markets and segments, and capitalise on the growth of micro-insurance on the continent,” Botes said.
MTN said the aYo offering would be rolled out in a number of African countries from the end of this year.
– African News Agency (ANA)