Equity targets increased revenues from new digital banking
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.