Standard Bank and M-Pesa sign agreement for money transfer

This is the first agreement under the framework of banking and mobile institutions interoperability.

The service will simplify salary payment or mass money transfer between Standard Bank accounts and M-Pesa, quickly, securely and in real time, for the employees, in particular, located in rural areas where there are no banks , thus contributing to greater financial inclusion.

For example, with the implementation of this agreement, teachers and other public workers will no longer have to move from one district to another in order to withdraw their salaries, as they can receive money via M-Pesa and collect it from any M-Pesa agent.

A part from that, seasonal farm workers and other agricultural and livestock industries employees, which have no bank account can receive money on their phones through M-Pesa.

The Standard Bank’s Managing Director, Chuma Nwokocha said, moments after signing the memorandum of understanding that the initiative falls within the framework of banking and mobile institutions interoperability, a challenge recently presented by the Central Bank to financial and mobile telephony institutions.

It is, as said Chuma Nwokocha, the implementation of the commitment made by Standard Bank with the Central Bank, to contribute to financial services expansion and to the banking of rural areas so that through this memorandum, people who live in areas without banks will be able to receive electronic money sent from Standard Bank’s electronic channels, for mobile phones, accordingly registered in the M-Pesa service.

According to Gulamo Nabi, Vodafone M-Pesa’s Managing Director, "to access this innovative service, users only have to register for free at any authorized M-Pesa agent, presenting their ID card and providing their Vodacom mobile number. After this simple process they automatically have an M-Pesa account where they can deposit their money at any authorized agent M-Pesa. Through the newly introduced M-Pesa functionality, customers can now receive money or transfer their savings to any Standard Bank account quickly and easily. "

Gulamo Nabi also stressed that "since its launch, M-Pesa has grown exponentially throughout the country specially for being easy to use, affordable and accessible to everyone, contributing to a large-scale financial inclusion."