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    HomePartner ContentFrom Remittances to Deposits: Mukuru Launches Banking Operations in Zimbabwe

    From Remittances to Deposits: Mukuru Launches Banking Operations in Zimbabwe

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    Remittance giant Mukuru has launched a mobile wallet service in Zimbabwe, marking a significant step in its evolution into a deposit-taking banking institution. The move follows Mukuru’s recent acquisition of a Deposit-Taking Microfinance Institution (DTMFI) license from the Reserve Bank of Zimbabwe, allowing it to offer a wider range of financial services to its over 3 million Zimbabwean customers. The Mukuru Wallet aims to bolster financial inclusion by offering secure digital money storage and transfer capabilities.

    Building on its established network of 250 service points across the country, Mukuru seeks to address the underserved communities, particularly in rural areas. The wallet boasts two distinct compartments — one for local and the other for international transactions — catering to the growing remittance inflows into Zimbabwe.

    “We’ve built a strong reputation for ensuring cash availability,” said Marc Carrie-Wilson, CEO of Send Money Home Zimbabwe, a subsidiary of Mukuru. “The Mukuru Wallet is a significant development as it allows us to expand our services beyond remittances, offering affordable domestic money transfers and eliminating the need for people to carry large sums of cash.”

    Doug Tait-Knight, Mukuru Zimbabwe Financial Services CEO, highlighted the company’s commitment to financial inclusion through its robust technology and extensive network. The wallet, he explained, facilitates not only secure transactions but also bill payments for utilities, airtime, and insurance.

    Looking beyond individual users, Mukuru plans to partner with businesses, targeting sectors like agriculture and small enterprises. Kevin Nyakotyo, Mukuru’s Enterprise Sales Manager for Zimbabwe and Zambia, emphasized the wallet’s potential to enhance safety for farmers receiving large payments.

    “The Mukuru Wallet eliminates the need for them to withdraw everything at once,” Nyakotyo said. “This, along with our widespread network, ensures accessibility and peace of mind for our customers.”

    The launch comes amid a backdrop of rising remittance inflows into Zimbabwe. According to Finance Minister Mthuli Ncube, remittances from the diaspora reached $1.9 billion between January and September 2024, a 16.5% increase compared to the same period in 2023. These funds constitute a significant portion (25%) of the country’s foreign currency earnings, highlighting their importance in the face of ongoing economic challenges.

    The Zimbabwean government is actively seeking to strengthen ties with the international community and encourage further participation from the diaspora in the national economy. With its mobile wallet launch, Mukuru, now a deposit-taking banking institution, positions itself to play a crucial role in facilitating these financial flows and promoting financial inclusion within the country.

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