Already a significant player in mobile money, South Africa’s MTN Group’s joint venture with MMI Holdings is a further reach into financial services.

MTN is setting up a jv called aYo with the firm, which will offer micro insurance packages across Africa, where insurance penetration is low in many countries.

Herman Singh, MTN’s group chief digital officer, said that this “gives us an opportunity to further expand our bouquet of mobile financial services offerings across our footprint”.

MTN did not specify where aYo will first launch. It said offerings will be available in a number of African countries from the end of 2016, leveraging the strengths of both companies.

The operator is already a player in mobile money, with an increase of 41 per cent to ZAR1.29 billion ($94 million) in revenue from the activity in H1 2016. Registered money customers grew by 5 per cent to 36.5 million across 15 countries in the first half.

According to Techcentral, financial services experience is playing a growing role at MTN. Prior to being hired from rival Vodacom, Singh was in charge of Standard Bank’s innovation and new business incubator.

In July, it appointed Barclays Africa Group’s former investment banking chief Stephen Van Coller to run strategy and M&A.

And Rob Shuter, the group’s new CEO who starts work in mid-2017, previously worked for Vodafone and Vodacom, but previously was an executive with Standard Bank and Nedbank.