Airtel, World Remit strike new mobile money deal

BUSINESS

In the wake of the global coronavirus pandemic, telecom service provider, Airtel Africa has partnered with global digital money transfer service provider, World Remit to extend digital money transfer services across the continent. 

This, according to Airtel will augment government efforts to limit direct contact with contaminated surfaces including cash, as it steps up efforts to fight COVID-19. 

Airtel Africa chief executive officer, Raghunath Mandava said the service will also further increase the continent's financial inclusion efforts, estimated at 34% according to the Global Findex report. 

Digital financial services in Africa have previously been credited for the unprecedented increase in the number of people enjoying access to formal financial services. 

According to Findex, digital financial service in Africa have been widely adopted due to the high mobile phone penetration and a growing innovation by service providers that encourages low-income earners to subscribe to their services. 

Mandava said users will be able to make local and international money transfers, make utility payments, and pay merchants, save money in their mobile wallets, purchase airtime and access a range of mobile financial products. 

"We are committed to enhancing financial inclusion in the countries where we operate. This means that our customers can now receive and make fast digital payments, directly to their mobile phones," she said. 

Andrew Stewart, World Remit Managing Director for Africa and the Middle East said the service would also be extended to more than 150 countries across the world. 

He said digital financial service is constantly improving the rate of financial inclusion on the continent and is expected to drive it even further during the COVID-19 era. 

Introduced in 2009 in the country, mobile money services have become so popular among Ugandans due to the high penetration rates of mobile phone services. 

According to UCC, the volume of money transacted through mobile money has also grown substantially over the years, hitting 19trillion last year, while subscriber numbers also grew to 15.6 million users.