Banks Having More Luck Than Telcos in Cracking South Africa’s Mobile Money Market
While South African telcos have found the going tough with their mobile money offerings, local banks are singing a different tune.
Yesterday, big four bank First National Bank (FNB) said South Africans are showing significant appetite for mobile money solutions. This is according to the latestdata from FNB eWallet Solutions, which shows 4.2 million new e-wallets were created over the past 12 months, a rate of about 350 000 new e-wallets per month.
However, local telecommunication service providers have tried their luck with mobile money services with little or no luck.
Earlier this month, MTN, SA’s second biggest mobile operator, said it was decommissioning its Mobile Money offering – launched in 2012 – due to lack of commercial viability.