Microsoft, M-PESA Africa to Unveil Digital Skills for MSMEs

Microsoft is collaborating with M-PESA Africa on its Capability Development Academy.

To foster capacity building and digitalisation for Micro, Small and Medium SMEs (MSMEs) across multiple African markets, the tech firm will provide access to the Microsoft Community Platform and SME Skilling Programmes.

M-PESA Africa will digitise skilling and leverage the community platform to empower MSMEs with the required skills to establish stronger business models, manage their finances, and provide great customer care through the Microsoft Community and Training platform.

M-PESA is Africa’s premier fintech and payments provider, connecting over 60 million customers and over 900,000 businesses across eight nations through M-PESA business solutions.

Africa, with the world’s youngest working population, has the potential to supply the next generation of workers.

However, in order to capitalise on this potential, the growing skills gap must be addressed.

Small and Medium-sized businesses (SMEs) are critical to Africa’s inclusive socioeconomic progress.

These enterprises serve as economic anchors for countries and can contribute to inclusive socioeconomic growth.

SMEs account for 40% of GDP in emerging nations and create at least 90% of new jobs.

Despite having the greatest entrepreneurship rate in the world, research shows that up to 80% of African SMEs fail within the first five years.

Access to business enablement technologies, money, and digital skills are just a few of the possible roadblocks for SMEs.

Microsoft’s Africa Transformation Office provides MSMEs with tools to expand their market reach.

Through appropriate business apps and ready-to-use skilling content, the company aims to digitally enable 10 million African SMEs.

Microsoft skilling programmes, available through M-PESA business solutions, will enable MSMEs to get the information they need to better manage their money, including basic accounting, financial planning, and cash flow management.

These abilities increase their chances of obtaining official financial services such as bank accounts, loans, and company insurance.

Adopting digital technologies, in turn, facilitates access to digital payment systems, which can help MSMEs save time and cut costs associated with manual transactions.

Microsoft’s skill development programmes will also assist MSMEs in developing the entrepreneurial abilities required to launch and run a successful firm.

The programme aims to improve the livelihoods of MSME entrepreneurs and their communities while also allowing these small enterprises to participate in the global market.

The purpose of the MSME upskilling programme is to reduce inequities and empower vulnerable populations, which is consistent with the United Nations’ Sustainable Development purpose 10.

The programme will be available in Kenya, Lesotho, Mozambique, the Democratic Republic of the Congo, and Tanzania, among other M-PESA Africa markets.

“In line with our purpose of transforming lives, we continue to pursue innovations and partnerships that connect customers and businesses across the continent to more opportunities while uplifting their livelihoods,” said Sitoyo Lopokoiyit, Managing Director, M-PESA Africa.

According to Gerald Maithya, Managing Director of Microsoft Africa Transformation Office, digitization may greatly improve financial inclusion, particularly for unserved and neglected firms such as MSMEs.

“Creating an enabling environment for these important economically active businesses that helps them thrive and participate actively in the continent’s economies is essential for sustainable and inclusive economic growth,” Maithya said.

“We are proud to be at the forefront of driving MSME development and financial inclusion in Africa and we look forward to seeing the positive impact of our partnership with M-PESA Africa across the continent,” he added.