Temenos says that its banking application T24 is being used as the platform for M-Shwari, the latest iteration of the hugely successful M-Pesa mobile money offering.
Launched in 2007, M-Pesa’s basic mobile banking services have been a massive hit, attracting more than 17 million subscribers or more than 80% of the adult population in Kenya. M-Shwari, which launched this week, takes the M-Pesa service to the next level, opening a broad range of banking services including interest bearing savings accounts and micro loans to M-Pesa subscribers.
M-Shwari is a partnership between Safaricom, Vodafone, and long standing Temenos client Commercial Bank of Africa (CBA). This is a crucial next step for the M-Pesa initiative, ensuring an increase in access to a wider range of financial services by providing customers with convenient and efficient access to savings accounts and small loans through their mobile phones.
Safaricom customers can sign up to the M-Shwari interest bearing savings account or apply for micro loans, provided by CBA, directly through the M-Pesa menu on their phone. There are no forms to complete or any need to visit a bank branch. If successful, the loan money is sent by CBA to the custome’s M-Pesa account immediately, highlighting the convenience and simplicity of M-Shwari. Based on its success in Kenya, the solution will now be considered for other African markets and beyond.