When Agnes Mukampabuka wanted a smartphone, the cost put it beyond her reach. Buying one outright would have required nearly Rwf300,000—an amount she could not afford in a single payment.

Instead, she turned to MTN Rwandacell Plc’s Tunga Taci na Yellow smartphone financing programme, run in partnership with smartphone finance firm Yellow Digital Retailers Rwanda (Yellow Rwanda), which allows customers to acquire devices and pay in instalments.

For the vegetable trader in Rubavu District, the smartphone has become more than a communication device – it has transformed how she runs her business and interacts with customers.

"I acquired a smartphone through Tunga Taci na Yellow and paid for it in instalments over almost one year. The total cost was about Rwf300,000, an amount I could not have afforded upfront,” said Mukampabuka, a mother of six.

"Today, I use this smartphone for business and to access digital services. I use it for cash transactions while I also use WhatsApp to communicate with clients and to advertise my business by posting messages on status,” she said, indicating that the smartphone has improved how she communicates with customers compared with her previous feature phone, which only allowed her to make calls and send text messages.

Mukampabuka also uses the device to access public services through the Irembo e-government platform.

Her experience reflects the broader goal of the financing model, which MTN Rwanda and Yellow say is aimed at reducing affordability barriers and expanding digital inclusion.

According to MTN Rwanda, more than 30,000 customers have acquired smartphones through the programme over the past two years, with about 50 per cent being first-time smartphone users.

Smartphone ownership among Rwandans stood at 34 per cent in 2024, according to the seventh Integrated Household Living Conditions Survey (EICV7) – the latest – by the National Institute of Statistics of Rwanda.

Expanding smartphone access through affordable financing

The scheme is part of MTN Rwanda’s efforts to expand digital inclusion by making smartphone ownership more accessible.

The company plans to scale up the model, targeting more than 100,000 new beneficiaries annually, which is more than triple the current recipients.

"As MTN, our biggest ambition is to provide a modern connected world to every Rwandan. The first step to digitalisation is a smartphone,” said Somdev Sen, MTN Rwanda’s Chief Consumer and Digital Officer.

He said smartphone ownership plays an increasingly important role in enabling citizens to participate in Rwanda's growing digital economy and access a wide range of digital services.

"You need to have a digital device in your hand. Without access to smartphones, some citizens may face additional barriers to participating fully in the digital economy.”

Affordability remains one of the key challenges to broader smartphone adoption, he said, indicating that through initiatives such as device financing, they are working to make smartphones more accessible and support Rwanda’s digital inclusion agenda.

"Smartphones are not cheap and, as time goes on, they are also becoming more expensive as global supply chain challenges continue to affect the industry. Device financing thus becomes an important tool for us,” Sen said.

Under the programme, customers make an initial deposit of 25 per cent of the cash price and then from as little at Rwf700 daily for up to 12 months which include monthly bundles of data, minutes and SMS messages. This Tunga Taci initiative targets entry-level smartphones across different brands and is available through more than 200 outlets countrywide.

Bringing first-time users online

The programme mainly targets people upgrading from feature phones.

"About 50 per cent are first-time smartphone users who were upgrading from feature phones,” Sen said.

Once connected, many users begin adopting services such as WhatsApp, YouTube, Irembo and mobile money applications.

This also enables customers to benefit from MTN’s wider digital ecosystem, including MoMo and other digital services.

"We see adoption of digital services. We see adoption on apps like Irembo. Through this programme, we are really being able to get a lot of people into getting digitalised for the first time,” he added.

''Yellow Rwanda Country Manager and Head of Customer, Simon Blampied said the initiative supports Rwanda’s digital transformation agenda.

"Digital inclusion is a really important national agenda and a big driver of growth,” he said.

He said access to financing remains critical, particularly as smartphone ownership is lower in rural areas.

"Access to finance is a really critical enabler of smartphone ownership and connectivity. To drive overall digital inclusion, you're going to need device finance.”

Blampied said many customers use smartphones as productive tools.

"Eighty per cent of our customers have their own business or are earning their income outside formal employment.”

"When we speak to them, customers are using the smartphone as a productive-use item. They are using it as an opportunity to grow their businesses, grow their income, tackle education, connect with friends and family, connect to government services and read the news they care about,” he said.

Challenges remain

MTN Rwanda says expanding smartphone ownership remains challenging due to rising device prices and limited access to financing infrastructure.

"The biggest challenge today is that globally entry-level smartphone prices are increasing,” Sen said.

He also pointed to the need for stronger credit-scoring systems to enable wider access to device financing.

"The Credit Reference Bureau is working towards that. As the credit scoring platform becomes more efficient, it will become easier for a device financing project like Tunga Taci to extend finance to more people.”

Blampied said continued investment in digital literacy will be important as access expands.

"As we continue to expand access, especially into more rural areas, our responsibility is to make sure customers clearly understand the financing terms, repayment obligations, and the value they receive from the smartphone,” he said.

Tunga Taci na Yellow comes as Rwanda accelerates its digital transformation agenda, highlighting that technology access increasingly depends not only on connectivity but also on affordable devices.