Safaricom ’s overdraft facility, Fuliza, was launched in 2019 but now processes an average of six transactions per second. In its latest sustainability report, the company revealed the product’s staggering growth since last year.
Cumulative customers who have used Fuliza since launch stands at 20 million, nearly double from 10.7 million in the 2019 financial year. The value of loans disbursed via Fuliza stands at KSh 245 billion in the 2020 financial year. The total number of transactions done has also risen significantly from 46.4 million in FY19 to 392.9 million in FY20.
In 2019, Safaricom only disbursed a total of Ksh 29 Billion, a tiny portion of what it has already done in 2020.
“The traction that the popular facility had from its launch in January 2019 continued through the period under review with strong growth in both the number of customers and volume of disbursements,” the company wrote in its report.
Safaricom launched Fuliza in January 2019. The main purpose was to help Kenyans send money and pay for goods and services without having cash in their M-PESA wallets.
The service charges a one-off interest rate of 1.083% plus a daily administrative fee on the outstanding balance depending on the amount “borrowed.” Annualized, Fuliza charges an interest of 395.2%.
Safaricom’s report reveals it now has 24.9 million M-PESA customers. The total value of transactions done on M-PESA rose 18.4% in FY20 to KSh 13.9 Trillion.