Pan-African payments aggregator PawaPay has secured a Payment Service Provider (PSP) licence from the Bank of Mozambique through its local subsidiary, Quidexplus Mozambique, marking a significant step towards expanding regulated digital payment services in the country. The authorisation places PawaPay among the first companies licensed to operate as a PSP in Mozambique, providing merchants with a regulated pathway into one of Africa’s most active mobile money markets. With the licence, PawaPay can onboard merchants directly and provide regulated payment services nationwide. The company is preparing to begin commercial operations immediately, with merchant onboarding expected to start in the coming days.
Tapping Into Mozambique’s Growing Mobile Money Market
Mozambique’s mobile money ecosystem has grown to more than 12 million active accounts across three operators: M-Pesa, operated by Vodacom; E-Mola, operated by Movitel; and mKesh, operated by Tmcel. Despite this growing adoption, limited licensed payment infrastructure has made it difficult for merchants to establish and scale their operations across the market.
PawaPay’s new licence is expected to help address this challenge by enabling businesses to connect with the mobile money services their customers already use, while operating within Mozambique’s regulatory framework. “Mozambique has been one of the most active mobile money markets on the continent for years, but merchants have had no reliable way to operate here at scale,” said Ilídio Matchebe, Mozambique Country Director at PawaPay. “Becoming one of the first PSPs licensed by the Bank of Mozambique changes that. We can now onboard merchants directly and connect them to the operators their customers already use day to day.”
Expanding PawaPay’s African Footprint
The Mozambique authorisation builds on PawaPay’s existing regulated presence across 23 African markets. The company processes approximately seven million transactions daily, serving businesses across sectors including ride-hailing, remittances, retail and non-governmental organisations. Its entry into Mozambique strengthens its regional expansion strategy and creates new opportunities for businesses seeking reliable payment infrastructure in markets where mobile money plays a central role in everyday transactions. For merchants, access to regulated payment services can simplify market entry, improve payment collection and help businesses reach customers who rely on mobile money rather than traditional banking channels.
New Partnerships Could Strengthen Cross-Border Payments
Alongside its licensing milestone, PawaPay is holding advanced discussions with M-Pesa, E-Mola and international remittance providers to expand inbound payment flows into Mozambique. If these discussions progress, the partnerships could help improve the movement of funds into the country and strengthen connections between local mobile money networks and international payment providers.
The development could also support businesses operating across borders, particularly those serving customers who depend on digital payments for everyday purchases, remittances and other financial transactions. As Mozambique’s digital financial ecosystem continues to evolve, the availability of additional regulated payment infrastructure could play an important role in helping merchants scale their operations and reach a broader customer base. PawaPay’s new licence marks an important step in that direction, positioning the company to expand its services in a market where mobile money adoption is already well established and demand for accessible digital payments continues to create opportunities for growth.
