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
Barclays Africa launches RiseA new global start-up community has been launched to pioneer financial services and unlock Africa’s potential. Read More
JUA Energy enters Nigeria after success in KenyaAfter successfully entering the Kenyan market in April 2014, solar-powered systems and technological electronic accessories manufacturer brand JUA energy has launched in Nigeria to sell through e-tailer Jumia. Read More
Fundamo founder joins Nomanini’s advisory boardFundamo founder Hannes Van Rensburg, generally considered the father of mobile payments, has joined the advisory board of Nomanini, a South African-based, enterprise technology transactions platform provider. Read More
Airtel sponsors Indo-Africa ICT Expo 2015Airtel is sponsoring the Indo-Africa ICT Expo 2015 being held at the Kenyatta International Conference Centre (KICC) now underway in Nairobi. Read More
MTN acquires Smart Village to enhance its foothold in the fibre network spaceMTN has concluded a deal with MultiChoice to acquire Smart Village, which will accelerate the mobile operator’s fibre to the home (FTTH) strategy to be the provider of choice for high speed fibre network across South Africa. Read More
Agilitude opens East African office on the back of mobility and cloud growthSalesforce reseller and Consulting Partner Agilitude has announced that is has opened an office in Kenya, making East Africa its next target for growth. Read More
MTN gets ethics management committeeMTN Nigeria has set up an ethics management committee with the sole responsibility of managing ethics risks. Read More
200 entrepreneurs to launch innovative businessesOver 200 entrepreneurs from across Africa are set to receive resources, networking opportunities and mentorship from Microsoft 4Afrika and AMPION. Read More
Airtel Ghana MD named Marketing Woman of the YearThe Managing Director of Airtel Ghana, Lucy Quist, has been crowned Marketing Woman of the year at the Chartered Institute of Marketing Ghana (CIMG) Marketing Performance Awards. Read More
FEATURED STORYInnovative designer takes e-waste to another level
Gladys Muyenzelwa is a Gaborone based artist and designer who has an eye for ethnic and contemporary design. But unlike other designers, Muyenzelwa has found a way of using e-waste to make her creations.
BEST READ NEWS
IN DEPTHHigh tech homes: Just press play
High tech, digital homes where everything is automated and connected aren’t the stuff of science fiction any longer, says BNC Technology.
COMPANY NEWSLuba Freeport streamlines its sea of paper with Sage X3
Luba Freeport has implemented the Finance and Distribution modules of the Sage X3 business management solution to automate its business processes across finance and operations.