Eli Hini, the Chief Executive Officer of MTN’s MoMo Payment Service Bank (PSB), and Elsa Muzzolini, the Chief Commercial Officer, have unexpectedly resigned from the company, resulting in a significant leadership change within the fintech industry.
Muzzolini has assumed the role of CEO at M-PESA Ethiopia,
Safaricom’s mobile money venture, effective July 15. She informed employees of
her resignation through a note dated July 12 and subsequently updated her
LinkedIn profile to reflect her new position.
The status of Hini, who exited in June 2024, remains
uncertain regarding any subsequent employment. Both Hini and Muzzolini joined
MoMo PSB in 2022, where they were instrumental in formulating growth strategies
in Nigeria.
Their departure coincides with MTN Nigeria's increased
investment in its fintech division, aimed at enhancing wallet share and app
usage following setbacks in its primary telecommunications business.
Phrase Lubega, the group executive for fintech commercial
operations, has been appointed as the acting CEO, pending approval from the
Central Bank of Nigeria, according to a source familiar with the situation.
MTN has not provided any comments regarding this matter. In
the first half of 2024, MoMo experienced a 55.8% increase in mobile money
wallets, reaching 5.5 million, up from 3.1 million in the same period of 2023.
Fintech revenue rose by 11%, driven by greater adoption of
wallets and the MoMo app. In comparison, Airtel's mobile money, which is set to
go public in 2025, saw a 14.9% increase in its customer base, totaling 39.5
million.
On August 5, 2024, MTN Nigeria acquired a ₦6.95 billion
stake from Acxani Capital Limited, the minority shareholder of MoMo PSB,
thereby gaining control of the fintech unit to enhance its operations and
facilitate growth, as stated in a regulatory filing.
This transaction also enables MTN Nigeria to allocate
additional funding to the fintech division, with MoMo receiving an extra ₦9.4
billion investment as part of the agreement.