Kyeyo to send cash cheaply
Nov 22, 2007
A pre-paid debit card, Zip Card, which will reduce the cost of delivering money from abroad, has been displayed at the Commonwealth Business Council.
By Sylvia Juuko
A pre-paid debit card, Zip Card, which will reduce the cost of delivering money from abroad, has been displayed at the Commonwealth Business Council.
David Smith, the council’s marketeer, said the cards would be issued by a firm with branches all over the country. The $30m project is supported by the business council, Octrad Technologies, makers of international banking software and is licensed by Bank of Uganda.
“The cards will cost sh10,000 and sh5,000, which will be credited to it. The amount is to be kept as minimum balance,†Smith said.
He added that the first centre will be built at Kajjansi on Entebbe Road and others spread out across the country.
“About 100 sites have been planned for this programme and will be scaled up to 500 sites over the next three years.â€
Smith noted that Uganda received about $100m per month in international transfers with the bulk of the money channelled informally. The money also comes Ugandans on odd jobs commonly known as kyeyo.
Automated Teller Machines (ATMs) will be installed in rural areas to facilitate the money transfer, he added.
“This project will facilitate international and domestic transfers, help with payment of utilities, drawing and paying of cash and enable more people He said the project would increase the number of people in the banking sector.
“Only 6% of Ugandans own accounts. If we could bring that up to 12-18%, it will bring more money into the banking system, which can be lent out to fuel business and trade.â€
According to Smith, the services would be marketed in Uganda, to Ugandans in the UK and later in the US.
A pre-paid debit card, Zip Card, which will reduce the cost of delivering money from abroad, has been displayed at the Commonwealth Business Council.
David Smith, the council’s marketeer, said the cards would be issued by a firm with branches all over the country. The $30m project is supported by the business council, Octrad Technologies, makers of international banking software and is licensed by Bank of Uganda.
“The cards will cost sh10,000 and sh5,000, which will be credited to it. The amount is to be kept as minimum balance,†Smith said.
He added that the first centre will be built at Kajjansi on Entebbe Road and others spread out across the country.
“About 100 sites have been planned for this programme and will be scaled up to 500 sites over the next three years.â€
Smith noted that Uganda received about $100m per month in international transfers with the bulk of the money channelled informally. The money also comes Ugandans on odd jobs commonly known as kyeyo.
Automated Teller Machines (ATMs) will be installed in rural areas to facilitate the money transfer, he added.
“This project will facilitate international and domestic transfers, help with payment of utilities, drawing and paying of cash and enable more people He said the project would increase the number of people in the banking sector.
“Only 6% of Ugandans own accounts. If we could bring that up to 12-18%, it will bring more money into the banking system, which can be lent out to fuel business and trade.â€
According to Smith, the services would be marketed in Uganda, to Ugandans in the UK and later in the US.