Malawian banks to centralise ATMs

BUSINESS

|
Image: By BiztechAfrica
Malawian banks to centralise ATMs

By Gregory Gondwe, Lilongwe, Malawi

Auto-teller machines (ATMs) for Malawian banks are set to be linked to the same national switch centre, under a USD28.2 million Financial Sector Technical Assistance Project (FSTAP) funded by the World Bank.

The project, which is a joint initiative by the Malawi government in collaboration with Bankers Association of Malawi (BAM), is set to put together a centralised electronic payment system, into which all the computerised commercial banking systems will feed.

This will allow all customers of commercial banks in the country to access their money with their ATM cards at any bank.

The project is as a result of a 2008 World Bank-International Monetary Fund Financial Sector Assessment report which spelt out the need for Malawi to expand and improve access to finance following financial demand survey for Malawi of the same year, which established that only 26 per cent of the adult population is served by the formal financial institutions.

Reserve Bank of Malawi (RBM), which will be manning the centralized electronic payment system, launched the five-year project last week.

“The project is the bank's key intervention to improve the country's financial sector with more access to services among rural Malawians,” said RBM Deputy Governor Mary Nkosi during the launch.

She indicated that the project will increase financial inclusion and build supervisory and operational capacity by the government and the financial institutions for easy access to financial services.

FSTAP Project Manager MacDonald Mwale said the national switch centre will facilitate increased financial inclusion in the country.

He said the project will completely change the financial sector perception.

“It is going to strengthen the sector while at the same time easing public access to financial services," said Mwale.

This is in agreement with the World Bank vision for Malawi through the Financial Sector Technical Assistance Project.

The bank says the project aims to increase access to finance for the currently unbanked, but bankable, population of Malawi.

The World Bank said there are five components to the project, the first component being financial sector regulation and supervision.

Through the centralised system, the bank says RBM will be able  to strengthen the national financial sector regulation and supervision framework for banking, capital markets, microfinance, and the insurance and pension industries by financing a combination of reporting, diagnostic, and capacity building technical assistance activities.



Share the News

Get Daily Newsletter

comments powered by Disqus

MORE BUSINESS NEWS

Africa’s youngest entrepreneurs stand to win $75,000

The Anzisha Prize is expanding, after initial success, to provide increased support to entrepreneurial youth and partner organisations to drive pan-African economic growth to 2020. Read More

New age e-commerce consumers challenge traditional business models

African consumers are increasingly searching online platforms with commercial intent, says DHL. Read More

VMware appoints Bask Iyer as chief information officer

VMware has announced the appointment of Bask Iyer to the role of senior vice president and chief information officer (CIO) of VMware. Read More

SpeedCast acquires Geolink

SpeedCast International Limited, a leading global satellite communications service provider, has announced the acquisition of Geolink Satellite Services, a leading provider of satellite communications solutions in the African region. Read More

Out of the Dark: Survival guide for businesses during load-shedding

As Africa’s premier integrator of business continuity services, ContinuitySA’s team spends a lot of time identifying risks and how to mitigate them. One risk that has become very real for South African businesses is load-shedding.  Read More

Insurance body: ICT essential

The newly established Insurance Institute of Botswana (IIB) says in this day and age it was virtually impossible for organisations, insurance companies included, to operate without incorporating ICT in every facet of their operations. Read More

VMware appoints Scott Dodds as new Vice President, Channel and Alliances in EMEA

VMware, the global leader in virtualisation and cloud infrastructure, has announced the appointment of Scott Dodds as Vice President of Channel and Alliances in Europe, Middle East and Africa (EMEA). Read More

IHS Towers awarded Telecom Finance Deal of the Year

IHS Towers, Africa’s leading independent mobile telecommunications infrastructure provider, has won TelecomFinance’s 2015 award for Deal of the Year.  Read More

Moving from doer to influencer – the shifting role of the CIO

The role of the chief information officer (CIO) has evolved over the past few years, with CIOs no longer just the decision makers for IT systems.  Read More

World market for refurbished smartphones to reach 120m units by 2017

The worldwide market for refurbished phones that are sold to end users will grow to 120 million units by 2017, with an equivalent wholesale revenue of around $14 billion, says Gartner. Read More

PRESS OFFICES

Sage ERP AfricaSAP AfricaSage Pastel AccountingTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionMTN BusinessSchneider ElectricMultichoiceMicrosoft 4Afrika

FEATURED STORY

Malawi Govt denies clinging to ‘Cashgate’ softwareMalawi Govt denies clinging to ‘Cashgate’ software

The Malawi Government will not exclude the software brand that has been in use for the country’s Integrated Financial Management System (IFMIS), but it has rejected reports implying that it is ‘clinging’ to the old system.

IN DEPTH

Kenya’s digital TV battle hots up Kenya’s digital TV battle hots up

Kenya’s journey to Digital TV broadcasting took a new turn this week, when the Communication Authority of Kenya (CAK) accused three local media firms of intent to disrupt the process.

COMPANY NEWS

MTN demonstrates the benefits of its video on demand offering

MTN showcased the benefits of FrontRow when it streamed high bandwidth video content onto multiple mobile devices using its video on demand (VOD) offering.

VMware appoints Bask Iyer as chief information officer

VMware has announced the appointment of Bask Iyer to the role of senior vice president and chief information officer (CIO) of VMware.