Safaricom fires 118 staff over fraud
Safaricom dismissed 118 employees for fraud during its 2026 financial year, as its M-PESA platform processed transactions worth KSh41.7 trillion. The dismissals increased from 113 the previous year, according to the company’s 2026 Sustainable Business Report.
Fraud Cases and Employee Actions
The company investigated 118 fraud cases. Not every case led to a dismissal. The report does not specify which departments the employees worked in or the details of the incidents. Fraud was the most common issue reported through Safaricom’s ethics hotline. The company’s ethics programme reached 98% of employees, matching the previous year’s level. Business partners also received compliance training.
Safaricom took other actions too. It issued three disciplinary warnings, up from zero. The number of cases handed to law enforcement agencies doubled to 14. The company said it follows established procedures and takes corrective action when needed.
Growth of M-PESA Services
M-PESA’s active user base grew to 41.7 million customers in 2026, up from 35.8 million. The platform handled 46.4 billion transactions. This growth shows M-PESA is central to Kenya’s payments system. By the end of the financial year, it had attracted 511,000 opt-ins and 84,000 trading subscribers. The company’s Auto Invest service recorded KSh987.6 million in investments, with 108,000 daily active subscribers in a single month.
The company is expanding beyond basic payments. Its Ziidi investment ecosystem now lets customers trade stocks on the Nairobi Securities Exchange. The service attracted 511,000 opt-ins and 84,000 traders. Other products like Auto Invest and Ziidi Pochi extend savings and investment tools to more people.
The rapid growth of digital finance puts more pressure on security and reliability. Customers rely on mobile money for more than just cash transfers; they use it for payments, savings, and investments. Protecting this ecosystem is now a core part of Safaricom’s business model.
Despite the increase in dismissals, Safaricom’s fraud reduction target of 90% was not met. Fraud incidents fell by 82%. The company recovered 46% of reported fraud losses. It also recovered KSh953 million linked to inflated agent commissions, though it did not link this amount directly to employee dismissals.
Social engineering was the top fraud threat. In-person schemes, which trick people into sharing information, were the most common problem. Safaricom said it improved transaction monitoring and identity safeguards. It also trained 972 M-PESA agents on ethics and compliance requirements.
Cybersecurity and Privacy Safeguards
Safaricom detected and monitored about 1.25 billion intrusion attempts. It also investigated more than 130,000 security events during the year. The company reported no major cybersecurity breaches affecting customer data or business operations. Distributed denial-of-service attacks were stopped without significant customer impact.
The company continued improving its 24-hour Cyber Defence Centre. This included using AI-powered defenses, automation, and better threat intelligence. Its security and privacy management systems are certified to several standards, including ISO 27001 for information security and ISO 27701 for privacy.
Safaricom completed M-PESA peer-to-peer data minimisation. This extended enhanced privacy protection to over 40 million subscribers. Customer trust indicators improved during the year. M-PESA’s privacy trust score increased to 70% from a low of 63% in the previous year.
The company also underwent an audit by the Office of the Data Protection Commissioner in December 2025. The audit found Safaricom was mostly compliant with Kenya’s Data Protection Act. The company faced no ODPC fines in FY2026, though ongoing privacy court cases rose to nine from six.
Sustainability and Operational Performance
The report also tracks Safaricom’s environmental performance as its network and digital services expand. The company reported progress on climate-related disclosures and measuring emissions across its value chain. It is expanding renewable energy and energy-efficiency initiatives.
In Ethiopia, Safaricom sourced 98.67% of its energy from renewable sources in FY2026. This was up from 96% a year earlier. Solar installations at 98.67% of its 338 sites helped avoid about 359,306 litres of diesel. Its Scope 1 emissions fell 31.5% to 9,029 tonnes of carbon dioxide equivalent.
Safaricom’s Board Risk and ESG Committee oversees technology-related risks. This includes cybersecurity threats and privacy incidents. The committee also reviews controls for preventing fraud, bribery, and financial crime. The report notes AI-enabled fraud and sophisticated cyber threats as ongoing challenges.
