Safaricom has finally officially rolled out the much-anticipated M-Pesa Ratiba feature on its mobile money platform, M-Pesa. Ratiba – which translates to “schedule”, was first announced in September 2023, and is finally live as of 1st October 2024, promising to revolutionize how M-Pesa users manage recurring payments for bills, subscriptions, and more. This launch signals a significant move towards enhancing convenience, automation, and control over personal finances through the M-Pesa platform.

What is M-Pesa Ratiba?

M-Pesa Ratiba is a standing orders feature that allows M-Pesa users to automate payments directly from their M-Pesa wallets. With this feature, users can now schedule payments on a daily, weekly, monthly, or yearly basis to pay bills, send money, or settle subscriptions without manually initiating transactions each time. This marks the first time a mobile money platform in Kenya has introduced standing orders, adding a layer of convenience for both personal and business users.

Key Features and Benefits

The introduction of M-Pesa Ratiba offers several benefits to users, making it easier to manage recurring payments:

Automated Payments: Whether it’s paying rent, school fees, insurance, utility bills, or subscribing to services like newspapers and streaming platforms, M-Pesa Ratiba allows for the automatic deduction of funds on a set schedule. Users no longer need to worry about missing payments or manually initiating them each time.
Seamless Setup: Safaricom has designed M-Pesa Ratiba to be user-friendly, with a simple and seamless setup process. Customers can access the feature directly from the M-Pesa app’s Financial Services tab or through the USSD code *334#, option 9.
Flexibility: M-Pesa Ratiba provides users with the flexibility to set up payments at intervals that suit their needs—whether daily, weekly, monthly, or annually. This is particularly helpful for customers who have varying payment obligations.
No Penalties for Failed Transfers: Unlike traditional banking standing orders, M-Pesa Ratiba does not impose penalties for failed payments due to insufficient funds. If the standing order cannot be completed due to a low balance, the system will simply retry at the next scheduled interval without any additional charges to the user.
Security and Control: As always, Safaricom prioritizes security on its platform. Customers must authenticate transactions by inputting their M-Pesa PIN when setting up or modifying standing orders. This ensures that only the authorized account holder can initiate or change these automatic payments. Additionally, users have full visibility and control over their recurring payments via the M-Pesa app.

How to Access and Use M-Pesa Ratiba

Accessing M-Pesa Ratiba is simple, with two available methods:

M-Pesa App: Users can log in to the M-Pesa app, navigate to the Financial Services section, and select M-Pesa Ratiba. Here, users can set up, manage, and monitor their standing orders.
USSD Code: For those without the app or who prefer USSD, users can dial *334#, select option 9, and follow the prompts to set up their standing orders.

Once in the platform, users will need to:

Review and accept the terms and conditions.
Input their M-Pesa PIN for security.
Select the specific standing order they wish to set up—whether for sending money to family, paying bills, or purchasing goods and services.

After the setup, payments will automatically be deducted according to the set schedule, and users will receive notifications for each transaction.

Expanding Financial Inclusion and Driving Subscription Services

Peter Ndegwa, CEO of Safaricom, emphasized that the introduction of M-Pesa Ratiba is part of Safaricom’s ongoing efforts to transform lives through digital financial inclusion. He stated:

“Safaricom continues to transform lives through delivery of differentiated and personalized digital financial services and experiences to our customers. M-PESA Ratiba will allow customers worry-free digital payments of bills and transactions. We continue to innovate on the M-PESA platform to give our customers more visibility, control and security around their financial wellness.”

Ratiba is expected to significantly contribute to financial inclusion, especially among the underbanked populations in Kenya. With mobile phones being the primary means of accessing financial services for many, M-Pesa Ratiba’s automation and simplicity will help users better manage their finances, avoid missed payments, and participate more actively in the formal financial system.

Subscription Services and New Revenue Streams

In addition to automating utility bill payments, M-Pesa Ratiba is poised to unlock potential in the media and entertainment industry, particularly for news outlets, streaming platforms, and other content providers. Subscription-based services have traditionally struggled with manual payments, with many users forgetting to renew their subscriptions. The automation provided by M-Pesa Ratiba ensures continuity for both service providers and consumers, thus creating a new revenue stream for businesses in these industries.

With the introduction of M-Pesa Ratiba, subscription solutions for popular services like Showmax, Netflix – who have yet to fully embrace M-Pesa – and music streaming platforms could be significantly transformed, making it easier for users to automate and maintain their entertainment subscriptions without manual interventions.

Safaricom’s Evolving Super App

Since its initial launch in 2020, the M-Pesa Super App has continuously evolved, offering users a range of mini-apps across payments, savings, and even access to credit. M-Pesa Ratiba now joins this suite of services, reaffirming Safaricom’s position as a leader in the mobile money space.

With over 80 mini-apps now integrated into the Super App, M-Pesa is positioning itself as more than just a mobile money platform—it’s becoming a one-stop hub for financial management. The integration of standing orders further enhances its appeal, especially for users who prefer to centralize their financial activities on one platform.

What’s Next for M-Pesa?

As Safaricom continues to innovate, M-Pesa Ratiba is likely just the beginning of further developments in automated financial services. With increasing competition in the mobile money space, especially from fintech companies, Safaricom will need to continue pushing boundaries with features that enhance customer experience, improve security, and increase financial accessibility.

M-Pesa Ratiba is now available to all M-Pesa users across Kenya, and Safaricom is expected to expand this service to other markets where M-Pesa operates, including Tanzania and Ghana.