Telecommunications giant MTN Uganda has become the first mobile network operator in the country to enable cross-network mobile money transfers among all the companies using the service. MTN Uganda yesterday announced that it has completed (the final) Phase 3 which has seen UTL being switched on, making MTN the first telco in Uganda to fully comply with the Bank of Uganda initiative.
The development follows a 2017 directive by the Bank of Uganda, asking telecom companies to implement mobile money interoperability to allow seamless cross-network mobile money transfers.
This move was aimed at ensuring that customers from different networks would be able to seamlessly send and receive funds directly across all networks.
Speaking at MTN Nyonyi Gardens, Elsa Muzzolini, MTN’s General Manager Mobile Financial Services, expressed joy at the momentous move which was aimed at customers experiencing simplicity and efficiency in mobile money transactions across all networks.
“Now that we have completed this third and final stage, we believe that the winner in all this is the MTN Mobile Money customer who will experience a seamless user experience because they will now be able to send money to all mobile money networks in Uganda without extra hustles” said Elsa.
“We further believe, in line with our group strategy, that this move will drive financial inclusion and ensure digitization of cash transfer in the ecosystem while also fostering efficiency of payments. Because everyone deserves the benefits of a modern connected life, mobile money transfers should neither be prohibitive or discriminatory.”
With this move, it means that MTN Mobile Money customers can now send and receive money from MTN Mobile Money, Airtel Money, Africell Money and now M-Sente customers, directly on their mobile phones.
Mobile money interoperability has been touted as one of the solutions to increased regional dominance of the telecoms market by companies like Safaricom and MTN.
Greater convenience in cross-network mobile money transfers are expected to encourage customers to sign up onto smaller operators.
With interrogability arrangements, money received from rival networks will reflect in real time as cash available for use in their mobile wallets.
Tanzania and Rwanda were the first countries in East Africa to adopt mobile money interoperability.
In Uganda, MTN rolled out the first phase of the system by onboarding Airtel, then Africell in phase 2 and it has completed with UTL or Ugandan Telecom.
To send money from MTN Uganda using the cross-network mobile money transfer system to Airtel, Africell or UTL – you’ll dial *165*1*1#.
You’ll then type the number of the mobile money user you want to send funds to in the box that’ll be provided.
To use this service, you’ll dial *165*1# and then select ‘international transfer’.
MTN Mobile Money has been at the forefront of driving financial inclusion in Uganda. As 2019 approaches, the popularity of mobile money transfer services will continue to rise amongst Uganda’s social and business population. This will largely be supported by increasing adoption of mobile payments as well as an increasing need for cashless transactions.
