Eco-cash tariffs criticised

VALUE ADDED SERVICES

|
Image: By BiztechAfrica
Eco-cash tariffs criticised

By Alfonce Mbizwo, Harare, Zimbabwe

Zimbabwe’s largest mobile network, Econet Wireless, has launched its mobile money transfer service called Eco-cash, joining the rush to tap into Zimbabwe’s unbanked market.

At an analyst briefing on Monday, officials said the company had deployed 500 agents throughout the country. They also announced partnerships with Zimpost, which has over 300 offices countrywide, TN Holdings, which has presence in major centres in the country, and also with 300 independent agents.

At the launch, Econet chief executive Douglas Mboweni said the company considers the unlocking of access to financial services to be a "serious need".

“The banking population in Zimbabwe is very low, with only 14 people in every 1 000 being banked.

“Zimbabwe’s mobile penetration rate is at 70%, yet with that, we only have 1.4% of the population being banked,” Mboweni said.

He said between 60% to 65% of people reside in rural areas in Zimbabwe and that figure would remain stable for the foreseeable future.

Eco-cash immediately came under fire for being too expensive compared to regional competitors.

Financial Express compared Econet’s service Safaricom of Kenya’s M-PESA:Where EcoCash will charge percentages of the money being transferred, M-PESA has fixed charges for transaction ranges.

To transfer US USD200 to an EcoCash subscriber, a subscriber will be charged US4. For the same transaction, an M-PESA subscriber will be charged US 30 cents.

To transfer USD200 to a non-EcoCash subscriber, a subscriber will be charged USD14. For the same transaction, an M-PESA subscriber will be charged US $1.80.

To withdraw USD200 cash, an EcoCash subscriber is charged USD6. An M-PESA subscriber is charged USD1.70 for the same transaction.

    However, Econet’s mobile cash transfer transaction facility does not oblige a subscriber to open a bank account and the service is across various mobile networks.

    State-owned NetOne already runs a similar service titled OneWallet while Telecel launched its own service called Skwama in partnership with a local financial institution, Kingdom Bank.



    Share the News

    Get Daily Newsletter

    Search News

    comments powered by Disqus

    MORE VALUE ADDED SERVICES NEWS

    Uber offers cashless payments in Accra through SMSGH

    Uber, the innovative app that connects riders with drivers, has revealed to Biztechafrica that it has partnered with SMSGH to provide mobile payments to the Greater Accra Metropolitan Area (GAMA).  Read More

    MTN drives insurance with IAS

    MTN Business is set to empower insurance companies across Nigeria with an Insurance Automation Service (IAS). Read More

    Integrated payment markets to fuel future growth

    Congo registers strong demand momentum for international and cross-border money transfers, says TerraPay. Read More

    Kirusa launches myGenie app, ad platform

    Dr. Inderpal Mumick, Oluseyi Akinnibosun and Vishavjit Soni Kirusa, a global telecom and social media solutions provider, has launched myGenie app, a revolutionary free airtime App for prepaid Android users in Nigeria. Read More

    Sterling Bank, AppZone’s CreditClub partner on unbanked customers

    Sterling Bank Plc has signed up to AppZone’s CreditClub to leverage its agent network and banking technology platform to serve customers outside traditional branches. Read More

    Africa offers potential for cashless payment

    African countries share some of the world’s highest speeds of digital growth with people now constantly in pursuit of faster and more convenient ways of paying for goods and services. With the advances in technology, it is now possible to satisfy this demand at reasonable costs, delegates heard at ... Read More

    Safaricom launches M-PESA bill manager service

    Safaricom has launched a new service known as ‘Bill Manager’ that will enable customers to manage and pay bills via M-PESA all in a single transaction.   Read More

    BankOne empowers 250 Microfinance Banks

    One of Africa’s leading Information Technology platforms for micro finance banks, BankOne, has announced the signing up of its 250th client. Read More

    Orange Money in France to allow money transfers to three African countries

    Orange Money is available in Metropolitan France to enable Orange mobile subscribers in France to transfer money via their mobile to other Orange Money customers in Côte d'Ivoire, Mali and Senegal. Read More

    Dar es Salaam gets Uber

    Dar es Salaam has become the 475th city to join in Uber’s growing global network. Read More

    PRESS OFFICES

    Sage EnterpriseSAP AfricaTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionMTN BusinessSchneider ElectricMultichoiceMicrosoft 4AfrikaNetworks UnlimitedArbor NetworksEricssonTigo Ghana

    FEATURED STORY

    First-ever Africa Barclays Accelerator programme concludesFirst-ever Africa Barclays Accelerator programme concludes

    Ten fintech companies have concluded the first-ever Barclays Accelerator, powered by Techstars in Africa.

     

    IN DEPTH

    Ethical Hacking students can’t get a heck of a jobEthical Hacking students can’t get a heck of a job

    Botswana ethical hacking students report that they are failing to break into the local job market.