Airtel Money has announced a 95% drop in mobile money charges for transactions across other networks.
Speaking at a press briefing in Kampala, Airtel Mobile Commerce Uganda Limited (AMCUL) Managing Director, Japheth Aritho said will now cost the same (UGX1000/-) to send money from Airtel to other networks in Uganda and to Airtel Customers in East Africa.
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This new development, he said will create new opportunities for the development of the East African Financial Sector.
The firm also announced a 78% reduction in Airtel Money charges to other Global Networks.
Aritho told reporters interoperability has been a challenge to the growth of digital financial inclusion.
“We made a pledge to build a sustainable business that shares value within the community. This price reduction is informed by our commitment to build Uganda and Africa, our home,” he said, also adding that Airtel Money seeks to offer affordable and borderless transactions in Uganda and across the globe via the Airtel Money platform.
“We are pleased to announce up to 78% reduction in charges for global transactions as we continue to reduce barriers to financial inclusion,” he added.
Under this new arrangement, a customer sending One million to Airtel Kenya will now pay UGX 1000/= instead of the UG 52,100/= making huge savings from the reduced charges.
This gives value to the customer and makes Uganda competitive,” David Birungi, Public Relations Manager at Airtel Uganda said.
According to a Market Research Report (2017) by Financial Sector Deepening Program (FSDP), the demand for interoperability by end users of financial services was high, even though faced with high charges.
Most respondents indicated sending (98%) and receiving (97%) money across networks (off-net) as being important or necessary.
Almost all end-users were willing to send (96%) and receive (97%) across networks and 69% were willing to pay slightly more for these services than they would do for transactions on the same network. They did feel, however, that this cost should be less than it currently is.
Birungi explained that this campaign is open until 15th March 2023.
