Bank of Kigali launches mobile banking service

Jul 03, 2012

Bank of Kigali (BK) has just signed a partnership agreement with mobile operator MTN Rwanda to offer its clients access to ' Mobile Money', MTN's mobile banking service.

Bank of Kigali (BK) has just signed a partnership agreement with mobile operator MTN Rwanda to offer its clients access to ' Mobile Money', MTN's mobile banking service.

The bank's clients will now be able to access several services on their mobile phone such as opening an account, deposit, transfer and withdraw cash.

"This partnership will extend 'Mobile Money' services to the unbanked (…) There are around 45 percent of households in Rwanda with access to an MTN Mobile phone, we can use this to bring these clients to the formal banking sector" said Lawson Naibo, operations director at Bank of Kigali, quoted by Igihe newspaper.

The Banque populaire du Rwanda (BPR) launched this year a campaign to encourage Rwandans to adopt a similar service called Cash 'IZI'. The institution hopes to gain 300 000 new clients by the end of 2012, Ecofin news agency reports.

Furthermore, last May, the operator Tigo Rwanda launched a mobile money transfer service called Tigo Cash.

Rural areas in Rwanda have a limited access to financial services, According to figures from the country's central bank, only 1.7 million deposit accounts have been registered in December 2010 in a population of 10 million people.

Mobile banking services should contribute to raising the level of access to banking services in the country. Since it was created in 2010 by MTN, €17.5 million worth of transactions have been made on Mobile Money.ADNFCR-2976-ID-801399110-ADNFCR