New mobile banking service launched in Kenya

Oct 18, 2013

Kenya Commercial Bank (KCB) has partnered with Safaricom’s M-Pesa to launch a mobile banking app that will allow the unbanked population in Kenya to open accounts without visiting a bank.

Kenya Commercial Bank (KCB) has partnered with Safaricom’s M-Pesa to launch a mobile banking app that will allow the unbanked population in Kenya to open accounts without visiting a bank.

The KCB M-Benki mobile app will allow customers to open a bank account via their mobile phone with as little as Sh1 (€0.009). It will also allow customers to make withdrawals, deposits, pay for goods and services, as well as transfer funds.

KCB Group's CEO Joshua Oigara told Ventures: "The growth of mobile banking is a natural step towards providing an opportunity to reach mass markets efficiently and fully support financial inclusion… It is a powerful way to deliver savings services to billions of people who have cell phones but no bank accounts."

A study by the Central Bank of Kenya shows that there are 29.8 million mobile users in Kenya. Launched by Safaricom/Vodafone in March 2007 in Kenya, M-Pesa is the first global network of money transfer via mobile phone. It is now used by more than 15
million
clients within a population of 40 million.

According to the World Bank, 60.5 percent of Kenyans aged 15 and older have used a mobile phone to send money and 66.7 percent of Kenyans have received mobile payments.ADNFCR-2976-ID-801650899-ADNFCR