Monitise, the world’s leading mobile banking services provider, is
extending its business further into Africa and the Middle East with a
joint venture with Paynet, an electronics payment company.
The agreement, signed in principle, combines the strengths of Monitise
and Paynet to give millions of people access to banking and financial
services on their mobile phones.
It also helps cement Monitise’s position as a worldwide leader in mobile
money following a global deal with Visa Inc, the world’s largest
electronic payments network, in June.
The British company already works with some of the world’s biggest banks
and mobile operators to deliver an increasing range of services to their
customers over their mobile phone.
Its agreement with Paynet, which has a well-established electronic
payment network in Kenya, Tanzania and Uganda that connects to 35
regional financial institutions, will allow Monitise to further expand
its operations in Africa and the Middle East.
The combination of Monitise’s world class mobile money services with
Paynet’s African payments experience will offer a compelling mobile
banking solution to African and Middle Eastern financial institutions.
Uniquely among mobile banking services, Monitise also enables people
without a bank account to use its services, as well as providing
traditional mobile banking to those with accounts.
The technology turns mobile phones into ‘mobile wallets’ which can be
loaded with money and used to pay bills, deposit and withdraw cash, and
receive money transfers.
Services are expected to start early next year, enabling participating
banks and mobile operators to offer banking and financial services to
existing customers, as well as opening new markets.
Mobile phone penetration in East Africa is approximately 50 per cent and
Importantly, the technology works across all generations of mobile phone
and has passed the strictest security standards demanded by financial
institutions in the UK and the USA.
Bernard Matthewman, group managing director of Paynet, said: “There is a
huge demand for secure, affordable and convenient banking and money
services across Africa and the Middle East.
“Monitise is a global leader in mobile money services. Its tried and
trusted technology and know-how will sit perfectly with Paynet’s
existing networks to give people control of their money.
“Many banks and mobile operators in our region recognise the mobile
money opportunity but are struggling to find appropriate solutions.
“The Monitise approach of providing feature-rich mobile money services,
as opposed to simply selling a licence, makes it very attractive and
relevant to our market.
“This partnership will make a real difference to hundreds of millions of
people, giving them greater access to their bank and helping new and
existing businesses prosper.”
Alastair Lukies, chief executive officer of Monitise plc, said: “Paynet
and Monitise share the same vision of the social and economic benefits
which mobile money can bring to developing countries.
“Paynet’s established presence in East Africa and its expansion into the
Middle East is a natural fit for our mobile money platform and its
continued expansion into these territories with our partners around the
Mr Lukies added: “We firmly believe mobile money is most effective as an
‘open ecosystem’ where you can transact with anybody or any
organisation, regardless of your bank or mobile operator.
“This principle underlies our success in the UK and the USA and is even
more important in Africa and the Middle East.”
Notes to Editors
1. Monitise’s rapid growth in recent months saw 100,000 new customers
register for its services in May and it is on target to reach a total of
one million subscribers by the end of 2009.
2. Monitise signed a five year agreement in June worth a minimum of US
$13 million to supply its mobile money platform to Visa Inc’s 1.7
billion card-holders around the world.
3. Monitise is also working with ICICI Bank in India to develop its
4. Monitise plc (LSE: MONI.L) has created the world’s first mobile money
networks, which allow customers of multiple banks and mobile operators
to perform banking and payment transactions directly from their mobile
With live services in the UK and the USA, where it has delivered the
MONILINK and Monitise networks in partnership with VocaLink and
Metavante Corporation respectively, the company is currently working
with international partners to deliver similar safe, secure mobile
banking and payment services in territories worldwide.
Current key partners include VocaLink, Metavante, HSBC, Lloyds TSB,
first direct, Alliance & Leicester, Royal Bank of Scotland, NatWest,
Vodafone, Orange, O2, T-Mobile and 3.
5. Paynet provides outsourced payment services to financial institutions
including Visa / MasterCard issuing and acquiring, ATM management,
e-payments and prepaid card solutions to African financial institutions.
6. Paynet owns the PesaPoint network of ATM and POS machines in Kenya
which connects to 30 financial institutions and provides locations all
over Kenya, particularly focusing on areas with underdeveloped payment
7. PesaPoint was voted the ‘Best New Infrastructure in Africa’ by
African Investor magazine in 2006.