CBA's MoKash service has approved over one million loans to 2.5 million customers, a half of who are also actively saving on the platform.
The Kenyan bank last year unveiled MoKash in partnership with MTN Uganda, seeking to replicate the runaway success that it has had with M-Shwari in Kenya.
MoKash customers can borrow from Sh85 to a maximum of Sh28,500 depending on their loan limit which is a factor of their mobile money usage and their repayment histories.
The Commercial Bank of Africa (CBA) has issued about Sh857 million in loans to Ugandans subscribed through its mobile banking platform, MoKash, which was launched a year ago.
The statistics were disclosed by MTN Uganda, CBA’s telecom partner, which added that the MoKash service has approved over one million loans to 2.5 million customers, a half of who are also actively saving on the platform.
The Nairobi-based lender on August 9, last year unveiled MoKash in partnership with MTN Uganda, seeking to replicate the runaway success that it has had with M-Shwari in Kenya.
MoKash, just like M-Shwari is a suite of virtual banking products built on MTN’s mobile money platform where users can save and borrow micro-loans from CBA which has branches in Uganda.
“At MTN, our mission is to make customer’s lives a whole lot brighter and we introduced MoKash to give customers more services to enable them achieve their goals,” Elsa Muzzolini, MTN Uganda general manager of mobile financial services, said in a statement.
MoKash customers can borrow from Sh85 to a maximum of Sh28,500 depending on their loan limit which is a factor of their mobile money usage and their repayment histories.
Loans attract a nine per cent facilitation fee and is valid for 30 days.
Launched in 2012 on the Safaricom mobile money application, M-Shwari has become a key growth driver for CBA.
In Kenya, the service processes over 80,000 loans per day and a customer base of over 16 million.
CBA operates the mobile banking service (under different names and partners) in Tanzania and Rwanda.
