Mobile banking: This time will be different, says MTN SA
Primary targets at the moment are the under-banked and the unbanked but ultimately it will be for everyone
SA’s second largest mobile operator is taking another swing at cracking the unbanked market in SA with the second launch of its mobile money offering, MoMo. MTN SA CEO Godfrey Motsa explains how the company believes it can succeed this time.
Does MTN have plans to get a banking licence in SA?
All the options are on the table. At the moment we have a partnership with Ubank, but we’re also talking to other banking partners because we work on a non-exclusive basis. But to do what we do, we do not necessarily have to have a banking licence. In this digital world, you can grow a lot of businesses without taking the traditional legacy approach. Companies like Facebook have been built on the back of the infrastructure we have put down. They provide calls on WhatsApp, messaging on Facebook Messenger and WhatsApp, but where is their mobile network operator licence? I’ve never seen them having a meeting with Icasa [Independent Communications Authority of SA]. But again, we’re taking an open-mind approach. Our view is that this thing has to succeed. Our time for MoMo is now. ..