The Commercial Bank of Africa and leading integrated communications services provider in Kenya, Safaricom have announced plans to increase the number of M-Shwari customers in the coming months.
M-Shwari is a paperless banking service offered to M-PESA customers. It enables them open and operate an M-Shwari bank account through a mobile phone, via M-PESA, without having to visit banks or fill out any forms.
The two organisations aspire to grow the number of people using the revolutionary service that allows them to save and borrow loans against their savings, from the current 6 million, with a view to fulfilling the country’s Financial Inclusion agenda.
The move will boost the number of Kenyans in the formal financial fold from 21.12 million giving them a chance to access formal financial services.
“M-Shwari has registered immense success since it was launched in November 2012. So far loans amounting to over Kshs. 7.8 billion disbursed, out of the more than Kshs. 24 billion that has been deposited into customers M-Shwari accounts. One wonders where these amounts would have been had it not been for M-Shwari,” said Bob Collymore, during the launch of a consumer promotion for M-Shwari customers.
The Chief Executive Officer, CBA, Jeremy Ngunze said: “Until Safaricom introduced this service the number of people who were in the formal financial fold remained low. We are optimistic that the consumer promotion we have launched today we’ll see more people save and borrow loans for their economic activities.
Over 30 million will be up for grabs during the three-month promotion that will target existing and new M-Shwari customers.
One customer will scoop Kshs. 5 million Grand Prize, while each week, one customer will win Kshs. 1 million and 15 customers will win Kshs. 100,000. Every day, 100 randomly selected customers will have their M-Shwari savings doubled during the duration of the consumer promotion.
All prizes will be paid directly to the customers M-Shwari accounts, during the promotion that starts today and runs until March 20th, 2014.