Airtel eyes seamless cash transfer for E.Africa

Bharti Airtel has unveiled a mobile money platform in Uganda, which now completes the technical process of linking its Kenyan and Tanzanian outfits and sets the stage for cross-border money transfer.

Michael Okwiri, the vice president for corporate communication at Airtel Africa, on Wednesday said that the firm was in the process of creating a seamless money transfer service in Kenya, Uganda and Tanzania—which will allow for cash transfer across East Africa.

“We have applied to the relevant authorities in Kenya, Uganda and Tanzania and are awaiting regulatory approvals,” said Mr Okwiri.

Unscrupulous traders

The mobile telephony firm – which has operations in 16 African countries –is seeking to reap from increased trade in the region, following the formation of the East Africa common market.

Airtel yesterday upgraded its Ugandan money transfer service following a revamp of its Tanzania service in December, setting the stage for a seamless regional network.

Though there are a number of other mobile money transfer services in the region such as M-Pesa, MTN money, Essar’s yu Money and Orange Money,  none of operators have achieved a seamless transfer of money within the region. M-Pesa is available in Tanzania through Vodacom.

This has led to some unscrupulous traders offering the services illegally and charging consumers heavily.

In Kenya, Airtel has 2.9 million mobile money subscribers, behind Safaricom that has 14.8 million. Essar’s Yu and Telkom Kenya Orange have 441,606 and 120,488 respectively.

Mobile money transfer services have not only brought the unbanked into the financial scene, but are a source of revenue for mobile firms.

In Uganda, Airtel has partnered with leading international and regional banks to provide customers with access to money transfer, banking services and payment of bills.

These include Standard chartered bank, Post Bank, Pride Micro Finance, Centenary Rural Development Bank, Equity Bank, Diamond Trust Bank, United Bank of Africa, Kenya Commercial Bank, Baroda, Eco Bank and Finance Trust Bank.

“Airtel Money’s new platform will provide consumers with ... ATM transactions, utility bill payments, Airtime top ups and Money Transfer services” said V.G. Somasekhar, Airtel MD.