Africa’s leading Microfinance Bank launches M-KESHO for M-PESA Customers
Equity Bank, Africa’s leading microfinance bank in
partnership with Safaricom have launched M-KESHO, an interest bearing savings
account for Kenya’s 9.4 million M-PESA users. Customers will now have access to
mobile micro-savings, micro-insurance and other banking services from their
M-PESA Equity bank accounts via their mobile handsets. The launch of M-KESHO is
in response to identified M-PESA customer needs for a convenient and affordable
to keep their money which they can access through agents including Equity Bank
auto branches. Through M-KESHO, over 4.5 million Equity Bank account holders
and over 9.5 million M-PESA customers will now enjoy a linkage between the two
services.
Speaking at the launch presided over by President Mwai
Kibaki, Safaricom Chief Executive Officer Michael Joseph said “M-PESA is proud
to launch another new initiative with our partners Equity Bank by offering a
new service that will target customers who are looking for the convenience of a
bank account that uses M-PESA as the tool to deposit and withdraw money into
their accounts. This is a great idea that will drive customers to save money
into their bank accounts and enjoy the benefits of having the added value
services of both M-PESA and Equity Bank account”.
This new innovation gives an opportunity to all unbanked
Kenyans with mobile phones to enter the financial system and enjoy the freedom
of modern banking. It is a revolutionary step in demystifying banking and
making it easy for every Kenyan to keep their money in a safe and secure place.
Equity Bank’s Chief Executive Officer, Dr James Mwangi said ‘this partnership
marks the convergence between banking and telecommunications which will indeed
take financial services to the last mile. Our partnership symbolizes how brands
can maximize on their synergies to develop solutions that will hasten Africa’s
development agenda. Technology is one of the key agents that will drive
economic growth by introducing convenience and efficiency to empower ordinary
citizens to become agents of poverty eradication. This is in line with our
vision of championing the social economic prosperity of the people of Africa.”
Financial access is a key component of the economic pillar
in Kenya’s Vision 2030. Safe and secure savings, access to credit and
affordable insurance are financial services needed by all including the low
income households who lack access to these services. The bottom of the pyramid,
the majority of whom are still unbanked seek for opportunities to access
affordable financial services. This partnership helps expand access to
financial services. Dr James Mwangi also serves as the Chair of Kenya’s Vision
2030 Delivery Board.
Launched in partnership with Vodafone in March 2007,
Safaricom’s global acclaimed award-winning MPESA is the first commercial mobile
money transfer system in Kenya. Designed to answer to the needs of the unbanked
and people outside the formal financial system, this trailblazing innovation
has had phenomenal success, to global acclaim. According to March 2010 figures,
M-PESA serves a growing clientele of about 9.5 million subscribers through an
agency network estimated at over 17,000 units. It has handled over Sh405
billion in person-to-person transfers since launch. Recently, the two firms
offered all registered M-PESA customers the ability to withdraw M-PESA from the
over 650 Equity Bank ATMs. The inter-linking of the M-PESA system, Kenya’s first
mobile money transfer service with conventional banking infrastructure like
Equity Bank’s presents a ground-breaking innovation that is a fitting platform
for the development of new services in line with the two organization’s vision
of deepening financial inclusion.
