About one week ago, Safaricom Halal pesa was introduced by the telco in partnership with Gulf African Bank. This is the first Shariah-compliant mobile and digital financial solution to launch in Kenya.
This is the latest addition by Safaricom to M-pesa that has seen some great strides in recent years. The company introduced the new M-Pesa App with mini-apps that make it more useful and gives businesses and service providers a chance to grow and serve their customers better.
“We remain keen on partnerships that enable us to provide a wide variety of financial solutions that meet the diversified needs of our customers further broadening financial inclusion to ensure that we leave no one behind. “ said Peter Ndegwa, CEO -Safaricom.
Back to Halal pesa, let us see what it is all about.
What is Safaricom Halal Pesa?
As mentioned above, Safaricom Halal Pesa is a Shariah-compliant mobile and digital financial solution powered by M-pesa. It is a financing product only at the moment with a savings option set to be introduced later.
This is a product compliant with Shari’ah principles and operates under Tawarruq model. This means that customers are given a facility and not a loan.
As such, it is perfect for Muslim customers who stay out of other lending products since they don’t adhere to Shari’ah law.
When you borrow, you will repay the amount plus a 5% margin. You can borrow up to Ksh 20,000 and can have one active facility at a time. The low margin makes Halal Pesa affordable compared to M-Shwari which charges a fee of 7.5% and 1.5% excise duty.
How do you get Safaricom Halal Pesa?
Halal pesa is accessible to All M-PESA registered users. To activate it on your phone, follow these steps:
On your M-Pesa App, navigate to the “Grow” option then choose Halal Pesa mini App.
For those without the app, you can:
- Dial *334#
- Select Loans and Savings
- Select Halal Pesa
- Select Register
- Check terms and conditions, read and then accept the terms and conditions
- Enter your MPESA PIN.
How to Grow your Halal Pesa Limit
You will know your Halal Pesa when opting in. You can keep checking your Halal Pesa limit by:
- Dialing *334#
- Select Facility
- Select Check limit
- Enter your MPESA PIN
The minimum amount you can request is Ksh 1,000. Your initial limit will be based on your M-Pesa transaction history. keep using the product to grow your Halal pesa limit.