23 October 2017
Register now

M-Pesa moves into cell phone savings accounts with Kenya's Equity Bank

18 May 2010  |  8731 views  |  0 iPhone on top of Keyboard

Mobile money joint venture M-Pesa is moving into the banking market through a partnership with Kenya's Equity Bank to offer subscribers an interest-bearing savings account, M-Kesho.

Under the agreement, Kenya's 9.4 million M-Pesa users will have access to mobile microsavings, microinsurance, and other banking services with Equity Bank. The application is capable of auto-scoring a customer's credit rating using a six-month history of his M-Pesa balances.

James Mwangi, CEO of Equity Bank, says: "Now, Kenyans will have self-service savings accounts on cell phones. When these accounts are linked though M-Pesa, we will be the most-banked country in Africa and the developing world."

A recent report by World bank think tank CGAP found that nearly one in three of the informants in Kibera (an informal settlement in Nairobi) kept a balance in their M-Pesa accounts. A survey conducted in 3000 homes in Kenya found this number to be even higher.

Speaking at the M-Kesho launch in Nairobi, CGAP acting CEO Alexia Latortue says: "Today, Kenya is sending a message to the world: poor people want savings accounts. Mobile banking is a powerful way to deliver savings services to the billion people worldwide who have a cell phone but not a bank account."

Earlier this year, Kenyan wireless operator Safaricom struck a deal with Equity Bank that enables M-Pesa mobile money transfer customers to access their funds at ATMs around the country.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Kenyan bookie introduces M-Pesa-based mobile betting system

Kenyan bookie introduces M-Pesa-based mobile betting system

30 April 2010  |  13583 views  |  0 comments
Vodafone brings mobile money service to Fiji

Vodafone brings mobile money service to Fiji

28 April 2010  |  8512 views  |  0 comments
UK government provides CGAP with £8m for m-banking

UK government provides CGAP with £8m for m-banking

11 March 2010  |  6854 views  |  0 comments
M-Pesa launches in South Africa

M-Pesa launches in South Africa

16 February 2010  |  13993 views  |  0 comments
Safaricom brings M-Pesa to ATMs with Equity Bank partnership

Safaricom brings M-Pesa to ATMs with Equity Bank partnership

18 January 2010  |  8400 views  |  0 comments
Cgap examines the future of mobile banking

Cgap examines the future of mobile banking

20 November 2009  |  10078 views  |  1 comments
M-Pesa launches UK-to-Kenya mobile money transfer service

M-Pesa launches UK-to-Kenya mobile money transfer service

03 November 2009  |  17317 views  |  0 comments
Cgap calls on mobile remittance operators to move into savings market

Cgap calls on mobile remittance operators to move into savings market

30 September 2009  |  9342 views  |  0 comments
M-Pesa faces government audit

M-Pesa faces government audit

11 December 2008  |  10850 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.fivedegrees.nlRegister nowvisit www.innotribe.com

Top topics

Most viewed Most shared
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
19561 views comments | 29 tweets | 42 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
15229 views comments | 23 tweets | 32 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
10996 views comments | 12 tweets | 23 linkedin
Eight banks form joint venture to launch blockchain trade platformEight banks form joint venture to launch b...
9060 views comments | 14 tweets | 28 linkedin

Featured job

Competitive base, double ote, benefits
London, UK

Find your next job