Chronicle Editor
Business Reporter
ECONET Wireless Zimbabwe’s mobile money transfer unit, EcoCash, has introduced instant loans of up to $100 accessible through the mobile phone.
The facility, which provides immediate nano loans, is being offered through a partnership between Econet’s Cassava SmarTech’s fintech business arm, EcoCash and Steward Bank, whose combined customer base is estimated at about 10 million.
Announcing the launch of Kashagi/Inyuku nano loans in Harare last week, Steward Bank also unveiled its new *236# bank service, a potentially game-changing innovation that allows customers to instantly open a bank account from their phone.
The joint launch, which was attended by a special representative of the World Bank, heard that EcoCash customers will now be able to access the Kashagi/Inyuku nano loans on their phones while both existing and new Steward Bank customers would be able to get a nano loan by dialing the new *236# bank service.
EcoCash customers can also access the loans from the EcoCash mobile App while Steward Bank customers can access the loans from bank’s Square mobile App, said the firm.
Cassava chief executive officer Mr Eddie Chibi has said the launch of the product shows the Econet group is on a mission to remove barriers to financial inclusion.
“Our mission is to leverage technology to innovate and create hassle-free access to financial services for millions of ordinary customers, to harness digital solutions to transform lives,” he said.
Speaking at the same event, Steward Bank chief executive officer, Dr Lance Mambondiani, said his bank had set out to provide banking services to everyone through digital banking.
“We want to provide banking to everyone, wherever they are, and we are committed to simplifying the way our customers’ access banking services, whether it’s opening an account or accessing credit,” he said.
Dr Mambondiani said anyone with a mobile phone — no matter how basic — could instantly open a Steward Bank account from their phone, without having to complete any forms and without the need to wait.
During the launch, he also unveiled personalised bank cards, the ability for customers to instantly link their Steward bank cards to their accounts and to link their accounts to their EcoCash wallet, and the ability to instantly activate their cards.
EcoCash chief executive officer, Ms Natalie Jabangwe, said their ability to offer the nano loans was unique in that it was based on “trust”.
“We trust you our EcoCash customers. We have a relationship with you and so we can offer you credit (Kashagi/Inyuku) based on your usage behaviour from the past,” she said, explaining that the nano loan facility would be available 24/7.
Customers could, however, “self-pay” or settle the loan earlier than the 30 days, and immediately become eligible for another loan, said Ms Jabangwe.
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