The fight is on. I&M Bank removes Bank to Mpesa charges

Pix also offers an interesting case study because of how such a convenient system led to increased fraud and increased crime requiring a variety of technical measures to mitigate. I am not saying it is a bad thing at all, but I am saying it is important to understand the negative consequences of mobile money that can arise (thankfully not so much in Kenya, yet)…

From: Rafe Mazer via KICTANet [mailto:[email protected]]
Sent: Thursday, February 16, 2023 3:06 PM
To: Adam Lane <[email protected]>
Cc: Mwendwa Kivuva <[email protected]>; Rafe Mazer <[email protected]>
Subject: [kictanet] Re: The fight is on. I&M Bank removes Bank to Mpesa charges

People may be interested to see how payments is being handled by the Central Bank of Brazil. Instant, fully interoperable, almost zero-cost. blog.mondato.com/brazils-pix-should-instant-payment-rails-be-a-public-good/

On Thu, Feb 16, 2023 at 1:09 AM Ali Hussein via KICTANet <[email protected]<mailto:[email protected]>> wrote:
Payment fees are a race to zero. Brands have to layer on other value-added services to keep our attention.

Ali Hussein

Fintech | Digital Transformation

Tel: +254 713 601113

Twitter: @AliHKassim

LinkedIn: Ali’s Profile<ke.linkedin.com/in/alihkassim>

Any information of a personal nature expressed in this email are purely mine and do not necessarily reflect the official positions of the organizations that I work with.

On Wed, Feb 15, 2023 at 5:02 PM Mwendwa Kivuva via KICTANet <[email protected]<mailto:[email protected]>> wrote:
After introduction of Bank to M-pesa charges; ATMs got heir grove back. More people started withdrawing to pay cash<www.standardmedia.co.ke/business/article/2001464713/atms-get-their-groove-back-as-mobile-transfer-fees-reinstated#:~:text=%E2%80%9CThe%20Central%20Bank%20of%20Kenya,said%20in%20a%20statement%20early> to reduce their transaction costs.

Now, I&M Bank has permanently dropped levy fees<www.businessdailyafrica.com/bd/corporate/companies/i-m-bucks-the-trend-with-cash-transfer-fees-waiver-4124842> for transferring cash between its platform and mobile wallets, bucking the trend in the sector that has been reinstating the charges since January amid customer outcry. The move will save I&M customers between Sh10 and Sh65, the range the lender was charging after the Central Bank of Kenya (CBK) announced a return of charges on transactions between banks and mobile money wallets.

Is the market adopting to consumer behaviour and correcting itself? What will the future look like on the cost of digital cash transfer charges?

Best Regards,
______________________
Mwendwa Kivuva, Nairobi, Kenya
www.linkedin.com/in/mwendwa-kivuva