Eq­uity tar­gets in­creased rev­enues from new dig­i­tal bank­ing

The Star (Kenya) - - News -

Eq­uity Group, the largest lender by mar­ket value, is bet­ting big on dig­i­tal plat­forms to drive earn­ings for the in­dus­try hard hit by re­cent in­ter­est con­trols on loan charges and re­turns on term de­posits. The bank yes­ter­day un­veiled EazzyBank­ing, an up­grade to Eazzy 24/7 mo­bile bank­ing ser­vice, in a bid to cut costs, by digi­tis­ing most of its services from the ex­pen­sive branches.

Chief ex­ec­u­tive James Mwangi yes­ter­day said EazzyBank­ing is in­formed by cus­tomers’ needs. “Cus­tomers’ bank­ing trends have de­clared the death of the bank branches trans­ac­tion chan­nel. To­day we an­nounce the death of brick and mor­tar,” Mwangi told re­porters in Nairobi.

Un­like other lenders, Eq­uity runs its own tele­coms net­work, Equi­tel, through a sub­sidiary called Fin­serve. Launched in August 2015, Equi­tel has a sub­scrip­tion of 2.5 mil­lion cus­tomers who have car­ried out 313 mil­lion trans­ac­tions val­ued at Sh366 bil­lion. Eq­uity’s fierce ri­vals in mo­bile bank­ing – CBA and KCB – ride on Sa­fari­com net­work.

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