Banks on race to reach unbanked with digital apps

As competition among banks grow, financial institutions are investing in digital solutions to reach the unbanked.

Speaking during the launch of one of the Ecobank digital platforms, group chief executive Ade Ayeyemi said historically the process of sending money has long been inefficient, with customers forced to physically go to an agent, and yet still have little or no clarity when the money will reach the recipient.

The new app — Rapidtransfer App remittance solution — is a quick, easy and reliable digital solution that removes all of these hurdles.

“Mobile application gives a customer access to various payment systems and make purchases faster and more efficient anywhere at any time; all one needs is a smartphone with Ecobank application," added Ecobank's managing director Mwanahiba Mzee on her part.

In another development, NMB Bank has enabled its customers to open a bank account through a digital APP-named Klik.

Customers simply need to either dial *150*66# or download the NMB Klik App forGoogle Play and or App Store for Android and iOS respectively.

“With digital technology growing we aim to keep pace. Now we are giving our clients greater autonomy with quick, easy and secure digital applications to access and open an account anywhere in the world, at any time,” said the bank.

The rise of mobile money platforms such as M-Pesa, TigoPesa, Halopesa from Vietel Halotel and Artel Money forced banks to develop mobile technologies to ease access to their services.

Findings from FinScope Tanzania shows that 85 per cent of adults with mobile money accounts use mobile money services exclusively while the remaining 15 per cent transact through either a bank account, or a non-bank financial institution.

SOURCE:THE EAST AFRICAN