SmartCash vs MoMo Psb: Different Mobile Money Plays in Nigeria

In Short

Airtel’s SmartCash is using pricing and interest incentives to grow mobile money usage in Nigeria. MTN’s MoMo Payment Service Bank is reporting growth driven by customers keeping larger balances in their wallets.

What Happened: How SmartCash And MoMo PSB Are Competing

Airtel’s SmartCash is offering Nigerians zero charges on transfers and bill payments, plus a savings product with 15% annual interest paid daily. SmartCash has also promoted cashback on selected transactions.

Condia reports that SmartCash’s incentives are aimed at customers who move money often or want balances to earn interest. SmartCash reported nearly three million active users in March 2026. It defines active customers as those who transacted within the previous 30 days.

By September, Airtel Africa’s half-year results put SmartCash’s Nigerian mobile money customer base at 4.2 million, up from two million a year earlier. Airtel also reported that Nigerian mobile money revenue rose from $4 million to $10 million during the six months ended September 2026, a growth of 176.4% in reported dollars.

MTN’s MoMo Payment Service Bank is showing a different path. MTN Nigeria reported a 102.2% increase in core MoMo PSB revenue for the nine months to September, but did not disclose the actual revenue figure. Its ₦97.5 billion fintech revenue includes a wider category covering MoMo and Xtratime, MTN’s airtime and data advance service.

MTN attributed the growth mainly to higher income from customer wallet balances. Those balances more than quadrupled to ₦43.8 billion, about $31.36 million, from ₦9.8 billion, about $7.02 million, at the end of December 2025. MTN invested ₦42.55 billion, about $30.47 million, of those customer deposits in treasury bills.

Why It Matters: Deposits, Activity, And Loyalty

The figures point to a key question for Nigeria’s telco-backed payment banks. Getting customers to sign up is only part of the work. The bigger challenge is turning deposits and repeat activity into steady revenue.

SmartCash’s approach leans on cheaper transactions and high savings interest to attract and retain users. MoMo PSB’s results show how wallet balances, meaning money left inside the account, can directly support revenue through interest income on deposited funds.