Vodacom launches MCHEZO a service to digitise upatu savings groups

DAR ES SALAAM: VODACOM has launched MCHEZO by M-Pesa, a digital service platform designed to help Tanzanians manage upatu savings groups through their mobile phones, bringing greater transparency and structure to group contributions, payments and record-keeping.

Upatu is a long-established savings practice in Tanzania, allowing people to contribute regularly and take turns receiving pooled funds. However, reliance on cash collection and manual records can create challenges in tracking contributions, managing payments and resolving disputes.

MCHEZO by M-Pesa addresses these challenges by enabling group organisers, commonly known as vijumbe, to create groups, set contribution amounts and schedules, invite members and manage payment arrangements digitally. Members can contribute through their M-Pesa wallets and receive SMS notifications on group activities and contributions.

Speaking at the launch, Tulisindo Mlupilo, Acting M-Pesa Director at Vodacom Tanzania, said the service builds on an established savings practice by introducing digital tools to improve how groups manage their contributions.

“Upatu has long provided Tanzanians with a practical way to save together and support one another’s financial goals. With MCHEZO by M-Pesa, we are bringing that familiar practice into the digital space, helping groups manage contributions, follow payment schedules and keep members informed. Our aim is to make group savings easier to administer while preserving the collective spirit that makes upatu valuable to communities,” said Mlupilo.

The service is a partnership between Vodacom Tanzania, Afropavo Limited and ABSA Bank. Vodacom leads the product proposition and customer experience, Afropavo develops and operates the technology platform, while ABSA supports the banking and fund-management arrangements.

Directo Ndabu Lilian Swere, Director of Personal and Private Banking (PPB) from ABSA, said the partnership brings together digital technology and banking expertise to support more structured management of group savings.

“Through our partnership on MCHEZO, we are supporting an approach that combines the familiar practice of upatu with digital tools designed to improve how group contributions and funds are managed,” said Ndabu

Rwebu Mutahaba, Director of Afropavo Analytics, said the platform was developed to address practical challenges faced by traditional savings groups.

“By digitising contribution records, providing SMS notifications and organising payouts according to agreed group rules, MCHEZO gives members a clearer way to track their savings and helps groups manage their cycles with greater transparency,” said Rwebu.

Before the launch, vijumbe participated in user-testing sessions, with their feedback informing improvements to payment arrangements, administration fees and group-size limits.

The launch will be supported by a 12-week campaign, featuring digital education, community activations and direct customer communications to help existing and prospective savings groups understand and use the sevrice.