M-PESA money transfer service launched

Vodacom and Nedbank announced the official launch of the M-PESA money transfer service today

August 31, 2010
M-PESA money transfer service launched

Announced at the start of the year and confirmed in March, M-PESA was officially launched by Vodacom and Nedbank today.

M-PESA is a mobile money solution which has been successful in other African markets, as well as in Afghanistan; enabling customers to transfer money from person to person using a cellphone.

“There are other cellphone banking products and money transfer services out there, but there quite simply is nothing like M-PESA,” said Pieter Uys, Vodacom Group CEO. “As anyone can receive M-PESA without having to be an M-PESA customer or even Vodacom subscriber, it has the power to reach all cellphone users.”

Uys added that the service is designed to include those who don’t have access to bank accounts.

“In South Africa, cellphone penetration is extremely high, and yet it is estimated that more than 13 million economically active South Africans do not have a bank account,” said Mike Brown, Nedbank Group Chief Executive.

How does it work?

In a statement Vodacom and Nedbank explained that the service works by loading money onto a Vodacom cellphone at any M-PESA outlet.

Outlets are retail stores, spazas, community service containers, and all Nedbank branches.

Customers can register for the service as well as deposit money into their M-PESA account at such outlets. Money can also be withdrawn as cash.

Once you have money in your M-PESA account you can send it to any other cellphone in South Africa. The receiver can redeem the cash at an M-PESA outlet or Nedbank ATM.

If you’re a Vodacom customer you may also choose to transfer the money to another person. Only Vodacom customers can send M-PESA but anyone with a cellphone can receive it.

At launch M-PESA is offering basic money transfers but Nedbank and Vodacom say they are in the process of implementing additional services such as paying bills and buying goods.

In Kenya and Tanzania M-PESA has been extended to allow customers to pay for school fees, insurance premiums and to put money into savings accounts. Customers there can also receive payments such as salaries and dividends, according to Nedbank and Vodacom.

“By combining the right partners, proven technology and a trusted distribution network, M-PESA is set to revolutionise how money is transferred in South Africa,” concludes Uys.

M-PESA mobile money service << comments and views

Free Email Newsletter:
Subscribe

Shutterstock is the image partner of MyBroadband – technology images can be found here

Join the conversation

Connect with MyBB

twitterfacebookandroidappleblackberrynewsletterfeed

Poll

Which tech brand do you like the most?

View Results

Loading ... Loading ...

More News

Open-access wholesale mobile networks can’t guarantee success

BMI-T

The path to establishing and operating an open-access, wholesale-only LTE-based wireless network is problematic

iPhones can extract a large amount of deeply personal data

Cheap iPhone 5

Personal data including text messages, contact lists and photos can be extracted from iPhones through previously unpublicized techniques by Apple Inc employees, the company acknowledged this week.

Wikipedia blocks U.S. Congress

Wikipedia logo

Wikipedia has blocked editing rights from some computers at the U.S. House of Representatives for “disruptive” revisions on the online encyclopedia

Outstanding E-toll bills at R1-billion

E-toll money

The DA says that the collective amount for road users not paying their e-toll bill has reached just short of R1 billion

Free MyBroadband Newsletter:
Subscribe
X
bool(true)