The volume of mobile commerce transactions that were processed through the Equitel platform grew by 21 per cent in the third quarter of the year driven by the increased use of the EazzyPay mobile money payment service. Additionally, the value of transactions rose by 10 per cent over the same period.
Data from the Communications Authority of Kenya’s (CAK) third quarter sector statistics report shows that Equitel processed 37.38 million transactions worth Ksh189 billion up from 30 million transactions valued at Ksh171 billion recorded in the previous quarter.
Overall Equitel accounted for 30 per cent or Ksh189 billion of the Ksh627 billion that was transacted in the form of mobile commerce payments.
Equitel has targeted to hem in at least 1 million merchants through its EazzyPay service within the next two years, a key strategic pillar for Equity Bank’s digital banking strategy that was launched in late 2016. Additionally, there were gains in the subscription base which stood at 1.7 million subscribers as at the end of March 2017, up from 1.49 million subscribers as at December last year, translating to a 15.4 per cent increase.
Equitel, which was launched in July 2015, now accounts for 23 per cent of the Ksh1.1. trillion that was moved in the economy through mobile money services in the third quarter.
EazzyPay merchants are also able to receive payments from all other channels like Mpesa, Airtel money and Pesalink.
With the slow but steady increase on EazyPay market share, it is the hope of money that in a few years the mobile money market will be liberated to allow for significant reduction to the cost of mobile money transactions. Currently, the leading teleco Safaricom controls nearly every single aspec of telecommunication services, including controlling the mobile money market that has forced other telecos to demand for MPESA to be cross platform. The only hindrance EazyPay has imposed on itself is that it is a service available for Equity Bank customers.