Bulk mobile payments solutions are set to drive up the levels of financial access in the region as transactional banking evolves to meet the banking demands of a fast growing East African population.

The Standard Bank Group which operates as CfC Stanbic Bank in Kenya plans on replicating the success of the CfC Stanbic Bank bulk mobile payments solution in its Tanzanian and Ugandan markets.

Speaking at the 3rd EuroFinance Conference on Treasury, Risk and Cash Management at a Nairobi hotel, CfC Stanbic Bank’s Regional Head for Transactional Banking, Robert Masinde said CfC Stanbic Bank’s mobile payments solution has been able to address a number of challenges faced by corporate institutions in expending payments to a large number of people, a good number of whom do not have access to banking services.

“Our Mobile Bulk Payment solution designed for corporate organizations now makes it easier for such corporations to send money in bulk to their suppliers, employees or other business partners without the beneficiaries necessarily having to own a bank account.” Mr. Masinde said.

In March this year, CfC Stanbic Bank’s innovative solution to provide a seamless channel for execution of bulk payments in Kenya via mobile banking was feted as the best mobile solution provider in a field that featured the world’s premier financial services institutions.

“Mobile banking has greatly improved accessibility to financial services in Kenya from as low as 20% to over 50% in a very short span of time,” he explained.

In the Kenyan market, CfC Stanbic Bank has partnered with mobile telephony service providers to offer a mobile banking service that enables corporate clients to disburse bulk payments such as salaries, dividend payments, per diem allowances and pension payments to various beneficiaries through their mobile phones.

Mr. Masinde said the bank was also working with MTN and Vodacom  to provide similar services in Uganda and Tanzania.

“This innovation has been successful in Kenya and as such we have extended the same to Tanzania and Uganda” said Mr. Masinde.

Mr. Masinde noted that the bank had extended the same payment solution to the agricultural sector and is currently working with tea firms, farmers in the various tea growing areas, adding that the solution provided a more secure and reliable payment solutions.

CfC Stanbic Bank’s mobile banking product eliminates the need to carry hard cash and allows recipients to only draw on e-money as and when it is needed.

The mobile banking solution is accessible through more than 20,000 M-PESA payment points, over 4,000 Airtel Money payment points, Pesa Point & Equity Bank ATMs countrywide. It is also accessible in all M-Pesa payment points in Tanzania and through MTN Money in Uganda.

One of the key agendas of the EuroFinance Conference is addressing the issue of financial inclusion in the region in the long term. Only 20% of Kenya’s adult population is banked with likely lower figures for Tanzania and Uganda.