Kenyan fintech software development company, Craft Silicon has unveiled an inter-bank money transfer system in Uganda.
PC Tech Magazine understands that the system will allow customers in Centenary Bank to transfer money to Finance trust bank in the meantime as the company seeks to extend its foot print in Uganda’s banking sector.
According to Kamal Budhabhatti, the Craft Silicon Chief Executive Officer, the company is eyeing further partnerships with Housing Finance Bank, Tropical Bank and Exim Bank, among others in order to extend this service wider.
Craft Silicon, a financial service provider which was founded in 1998, provides customized banking to more than 250 customers in about 40 countries including India, Nigeria, US, Uganda and Kenya.
It majors in providing core financial solutions including Islamic Banking, Integrated Banking and providing core Microfinance solutions. It also provides switch solutions and financial inclusions in the countries where its established.
Using their Inter-bank system, Centenary Bank and Finance Trust bank will be able to transfer money in amounts ranging from UGX 500,000 to UGX 5million.
“There is need to leverage on new technology in order to promote conventional banking that is both convenient and less costly to customers. Banks at the moment need new innovations to drive the agenda and any such innovation should be utilized to ease banking,” said Budhabhatti during the launch in Kampala.
The partnership comes at a time when Uganda is still struggling with issues of financial inclusion and trying to foster a cashless economy.
Uganda at least has more than 10 million mobile money subscribers, transacting more UGX 24 trillion per month.
The introduction of new financial technology such as online payments and inter-bank transfers will further improve the sector and push for a cashless economy.