Malawian banks to centralise ATMs
BUSINESS| Feb. 3, 2012, 5:41 p.m.
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.
MORE BUSINESS NEWS
Business incubator to boost 200 Zimbabwean entrepreneurs200 would-be Zimbabwean entrepreneurs are set to benefit from business training and support, thanks to a business development programme to be launched by business incubation specialist KBA Africa. Read More
Union gives Globacom 14 days to reinstate 54 sacked workersThe Private Telecoms & Communications Senior Staff Association of Nigeria (PTECSSAN) has urged Globacom to reinstate the workers it allegedly sacked from its service. Read More
British envoy promises more investors at Rack CentreMr Paul Arkwright, British High Commissioner to Nigeria, has promised to do his utmost to encourage more British companies to do business with their Nigerian Counterparts. Read More
UBA, Mastercard in pan-African partnershipUBA and Mastercard have announced a five year deal across 19 markets focused on driving financial inclusion in Africa. Read More
MTN Business partners with the National Gazelles to boost SMEs marketMTN Business today announced a new drive to help support the growth of small and medium enterprises (SMEs) and contribute to creating sustainable entities. Read More
Travelport appoints new Managing Director for AfricaTravelport has announced the appointment of Douglas Jewson as Travelport’s Managing Director for Africa. Read More
Brexit’s impact on AfricaThe short-term implications of Brexit for African economies will be mainly noticeable through market volatility, say Control Risks and NKC African Economics. Read More
Safaricom Blaze to take 2nd youth empowerment summit to ThikaSafaricom will this Friday, 8th July 2016, host the 2nd in a series of youth empowerment summits under its recently launched sub-brand, BLAZE. Read More
Kris Senanu to lead Telkom Kenya Enterprise DivisionTelkom Kenya has announced the appointment of Mr. Kris Senanu as the MD of its Enterprise Division. Read More
FEATURED STORYFirst-ever Africa Barclays Accelerator programme concludes
Ten fintech companies have concluded the first-ever Barclays Accelerator, powered by Techstars in Africa.
BEST READ NEWS
IN DEPTHEthical 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.