Tag Archives: mobile money
mobile money: Latest News
Peter Pedroncelli, 6:30 am
WorldRemit, an international digital money transfer business, and Wafacash, a Morocco-based financial services firm have partnered in order to provide instant money transfers to a growing set of African markets. The Moroccan money transfer market-leader and the global remittance company already work together in Morocco and Senegal, but this extended partnership will see their combined operations expanded to serve Cameroon, Benin, Burkina Faso, Niger and Cote D’Ivoire.
Peter Pedroncelli, 6:28 am
Huawei, a Chinese smartphone manufacturer and ICT solutions firm, and WorldRemit, a digital money transfer business, have joined forces in the African context, allowing Huawei to offer WorldRemit’s international money transfer service to African customers. Mobile money services have gained great traction across Africa, with a large unbanked population in many parts of the continent able to transact via their mobile phones.
Peter Pedroncelli, 5:49 am
Global B2B cross-border mobile payments network, TransferTo, is working with African e-commerce platform, MallforAfrica, to offer digital payments that give online shoppers in Africa access to over 200 major e-retailers across Europe and the U.S. Founded in 2011, MallforAfrica enables Africans to purchase products from numerous international online retailers through their e-commerce platform. There are over 277 million registered mobile money accounts in Africa, far more than the number of open bank accounts, giving mobile money the potential to be a primary enabler of e-commerce payments in Africa
Staff, 12:32 pm
There’s a huge unmet demand for small business financing in sub-Saharan Africa. Africa-based bitcoin startup BitPesa and Germany-based Bitbond have partnered to help change that. Bitbond’s role includes checking the creditworthiness of applicants and determining an interest rate. About 10% of Bitbond’s users are from sub-Sahara. The partnership means a small business owner can receive a loan from investors from all over the world within 20 minutes, a stakeholder said — “an unprecedented level of innovation and convenience in the entire online lending space.”
Tom Jackson, 2:19 pm AFKI Original
Just 2% of retail transactions in Africa are electronic. Cash is still king and small transactions — less than $2 — have hindered the growth of mobile money outside of its Kenyan heartland. The value of M-Pesa and similar services is questionable for Africans living on just a few dollars a day. The average M-Pesa transaction value is closer to US$30. It’s unsustainable for agents to serve lower-income segments. They can’t afford to get down to the level of very small transactions, limiting the effect of mobile money on the bottom of the pyramid.
Dana Sanchez, 3:22 pm AFKI Original
If Ant expands access to mobile money, it could mean that even more people will receive remittances on their mobile money accounts, and that will be good for Ismail Ahmed. Mobile money is disrupting remittances and making formal transactions easier, says Ahmed, a Somali entrepreneur and CEO of online money transfer service WorldRemit. Only 5% of remittances today are sent online. The rest is cash, paid over the counter or at agents. Online remittances are projected to grow six-fold to reach at least 40 percent in the next few years.
Dana Sanchez, 3:04 pm
BitPesa, a bitcoin payments startup that launched in Kenya and expanded in Africa and beyond, announced a $2.5M round of funding. The Series A round is led by Silicon Valley-based industry investor Draper VC, with existing U.S. investors. Series A investors are willing to take on the risk when a new venture is generating revenue but not yet making a profit. BitPesa will use some of the funds to move to Luxembourg. The firm’s goal is to be the largest payment company in the U.K., Europe and Africa.
Kevin Mwanza, 6:32 am
M-Pesa, the world’s largest mobile money network, could be the key to poverty eradication in the developing world based on its success in Kenya where almost 200,000 households headed by women are living above the poverty line as a result of the innovation, according to a study by Journal Science. The service, owned by telecom service provider Safaricom has economically improved the lives of many families in rural parts of East Africa’s biggest economy in the last six years.
Dana Sanchez, 5:39 pm
MTN’s announcement shows how difficult it is to crack mobile payments in South Africa’s financial services market. With one door closing, MTN is entering the micro insurance business with MMI Holdings in a joint venture called aYo. The mobile financial services industry is changing, and aYo will be able to compete thanks to the combined expertise, scale and market access of both companies. Insurance penetration is low in many African countries and MTN will be able to offer relevant, accessible and easy insurance solutions to consumers, the company said.
Dana Sanchez, 5:11 pm
Biometrics have been around for years. African countries have used fingerprint biometrics for voting, but they’re relatively new in the payment space. Fingerprint login already exists in mobile banking in South Africa, Kenya, Benin and Nigeria. London-based bank Standard Chartered plans this year to bring biometric tech to mobile banking in eight African countries. The bank claims this will be a first in most markets, and the largest deployment of fingerprint biometric tech by any international bank.
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