ZAMTEL has launched an electronic payment solution called ZAMTEL Kwacha which it says will revolutionise mobile banking in Zambia.
The service which will enable ZAMTEL customers send and receive money electronically will also be operated across all mobile phone networks.
ZAMTEL Kwacha customers will also be able to pay for goods and services at ZAMTEL merchants and agents and be able to pay for utility bills.
The service was launched in Lusaka at East Park Mall on Tuesday.
ZAMTEL Acting Chief Executive Officer Sydney Mupeta said the new service is aimed at offering additional value and convenience to ZAMTEL customers.
Mr Mupeta said the company is confident that ZAMTEL Kwacha will compete favourably with other existing mobile payment solutions on the market.
“The essence is to provide convenience by providing electronic money and as a way of allowing the customers to shop without carrying cash and as a way of promoting a cashless society,” Mr Mupeta said.
He said ZAMTEL Kwacha will further help take financial services to the unbanked population especially in the rural areas.
“The cost of having brick and mortal and having a bank branch established in each and every rural part of this country is quite high. So we are coming in to add to that financial inclusion with ZAMTEL Kwacha by making it easy for our people to access those services that are not easy to provide by the conventional and traditional banking services,” Mr Mupeta said.
He added, “Since ZAMTEL is a public institution, the fee structure for ZAMTEL Kwacha is very affordable. As you may have noticed, some competitors have since started announcing reductions in their cost structures after hearing of ZAMTEL Kwacha launch.”
Mr Mupeta said the new product will further add value to its rural based customers especially farmers due to ZAMTEL’s huge presence across the country.
“With the Government’s announced intentions to launch Phase two of the tower project, this will introduce further coverage beyond what we have and take it to 90 percent of the country,” he said.
And speaking at the launch, Transport and Communications Minister Brian Mushimba said Government is committed to taking communication services to all parts of the country.
Mr. Mushimba said the second phase of the tower project is in line with Government’s commitment to construct infrastructure and create an enabling environment for business.
At the same event, Bank of Zambia Governor, Denny Kalyalya has called on financial institutions to review their pricing structures to make banking services more affordable.
Dr. Kalyalya said the Central Bank also expects mobile network operators to provide fair access to network services to reduce the cost of doing business by third party entities.