M-KOPA Nigeria has demonstrated exceptional growth and impact, announcing plans to expand its financing services beyond smartphones following a robust performance in 2025. During this period, the company disbursed over ₦231 billion in loans and reached more than one million customers in Nigeria, solidifying its position as the fastest-growing market for M-KOPA globally. Since its launch in 2019, cumulative loan disbursements in Nigeria have surpassed ₦320 billion, with 2025 marking a significant acceleration in its operations.

M-KOPA's success stems from its strategic focus on Nigeria’s informal economy, a vast segment traditionally underserved by conventional financial institutions but increasingly reliant on digital tools for income generation. For millions of informal workers, traders, gig workers, artisans, and small business owners, smartphones have evolved from simple communication devices into essential work assets, directly influencing their earning capacity. However, this demographic consistently faces limited access to credit from formal lenders, creating a critical gap that M-KOPA effectively bridges.

The company’s innovative asset-backed lending model is designed around the realities of informal work. Customers make an initial deposit for a smartphone, followed by flexible daily payments. In cases where repayments falter, M-KOPA retrieves the device and refunds the original deposit, while daily installments remain non-refundable. This approach, coupled with a sophisticated credit-scoring engine built on smartphone repayment data, enables M-KOPA to assess creditworthiness and scale lending sustainably, even where traditional banks are cautious due to limited recovery mechanisms in unsecured lending.

The impact of M-KOPA’s model on its customers is profound. According to its inaugural Impact Report, 77% of customers utilize their financed smartphones or digital loans to generate income, with three in four reporting increased earnings since joining the platform. Notably, 29% of customers, approximately 290,000 individuals, accessed a smartphone for the first time through M-KOPA’s financing. Among long-term customers, 81% have reported improved household expenses. Stories like Suliyat, a rice seller who used her M-KOPA smartphone to manage suppliers, salesgirls, and online marketing, highlight how these devices function as vital business tools rather than mere consumer luxuries, anchoring trade, customer engagement, and cash flow management.

Financially, M-KOPA’s Nigerian operations contributed over ₦2.5 billion in taxes in 2024, suggesting annual revenues exceeding ₦60 billion for the year based on Nigeria’s corporate tax structure. Globally, M-KOPA achieved profitability for the first time last year, reporting revenues of $416 million, with Nigeria remaining its most dynamic market. General Manager Babajide Duroshola emphasized that Nigeria represents extraordinary potential, and the company's growth reflects a significant pent-up demand for practical digital tools among 'Every Day Earners'.

A core pillar of M-KOPA’s growth has been its robust agent network. Nigeria now leads all M-KOPA markets in agent network performance, boasting 11,000 active Direct Sales Agents with an exceptionally low turnover rate of 0.1%. This network not only facilitates distribution but also creates substantial economic opportunities. Ninety-nine percent of agents report earning more through M-KOPA, and for 56%, it was their very first income opportunity. Adewunmi’s journey, rising from an agent to a Sales Lead managing 20 sales agents, exemplifies the career pathways and empowerment the model generates, improving financial stability and personal skills.

M-KOPA is also making measurable progress in closing the gender gap in financial access. Female customer participation increased from 29% in 2024 to 33% in 2025. Furthermore, women now constitute 53% of active sales agents, marking a 42% increase. Significantly, 52% of women customers accessed their first formal loan through M-KOPA, narrowing persistent gaps in credit history and financial access for women in Nigeria's informal sector.

Strategic alliances with partners like MTN Nigeria, Samsung, and HMD have deepened M-KOPA’s impact by bundling connectivity, device protection, and trade-in options into financing plans. These collaborations integrate real value into everyday usage, making digital participation more accessible and meaningful. Behind the scenes, device security features and firmware-level controls help mitigate credit risk on financed handsets, supporting sustainable pricing and product design in emerging markets.

Looking ahead, M-KOPA plans a natural progression beyond smartphone financing to include other productive assets such as motorcycles for ride-hailing, generators for businesses, appliances for home enterprises, and laptops for the gig economy. This expansion is driven by the fact that Nigeria’s formal lending penetration remains below 5%, despite an enormous appetite for such assets. This strategic shift aligns with broader market trends, as evidenced by competitors like FairMoney also intending to expand into financing phones and motorcycles. While celebrating its growth, M-KOPA acknowledges the responsibility that comes with it, prioritizing consumer education, transparent dispute resolution, and robust data privacy frameworks to build long-term trust and ensure that safeguards scale alongside its rapid expansion, positioning it as a blueprint for accelerating digital inclusion across West Africa.