M-Pesa Launches Contactless ‘Tap-to-Pay’ for Tanzanian Smartphone Users

Tanzanian shoppers can now pay for goods by simply tapping their smartphones against payment terminals, following a major digital upgrade to the M-Pesa mobile money platform.

In a significant shift toward a cashless economy, M-Pesa Africa and Vodacom Tanzania Plc have partnered with global giants Visa and Paymentology to rollout the new “Tap-to-Pay” feature.

The service, which is now live via the M-Pesa SuperApp on Android devices, allows users to conduct contactless transactions at millions of Visa-enabled terminals worldwide.

The technology functions by integrating a “Visa Virtual Card” within the existing M-Pesa ecosystem.

This effectively bridges the gap between traditional mobile money and global banking networks, enabling M-Pesa’s utility to extend far beyond its original peer-to-peer and bill payment roots.

By leveraging Paymentology’s cloud-based issuing and processing infrastructure, the system uses “tokenised” transactions.

This ensures that sensitive data is replaced with unique digital identifiers, making the process more secure than traditional card swipes.

Industry experts suggest that this move will drastically accelerate financial inclusion across the region.

Anna Porra, Chief Revenue Officer at Paymentology, noted that such innovations “accelerate financial inclusion by making everyday transactions simpler and safer for everyone.”

The sentiment was echoed by Epimack Mbeteni, M-Pesa Director at Vodacom Tanzania, who highlighted the transition from concept to reality.

“What began as a simple idea, giving M-Pesa customers the freedom to tap and pay anywhere using just their phones, is now a live reality. This launch reflects our shared commitment to making payments simpler, safer and more accessible for millions of people.”

Furthermore, the collaboration signifies a growing trend of fintech-bank partnerships in Sub-Saharan Africa.

Meagan Rabe, Visa’s Vice President of Merchant Services for the region, attributed the milestone to “effective collaboration within the payments ecosystem.”

While the feature is currently limited to Android users, its introduction marks a pivotal moment for M-Pesa.

By allowing users to transact anywhere Visa is accepted, both locally and internationally, the mobile money giant is positioning itself as a direct competitor to traditional physical debit cards.