Kazang and Woolworths Zambia Forge Alliance for Cashless Transactions
Kazang, Zambia’s largest point of sale (POS) terminal network, has entered into a strategic partnership with Woolworths Zambia to facilitate cashless transactions for customers using their mobile phones.
This collaboration allows customers to make convenient, cashless payments for goods at any Woolworths store using Mobile Money services provided by Mtn, Airtel, Zamtel, and Spenn.
The initiative aligns with the “Go Cashless” campaign launched by the Bank of Zambia in November of the previous year, aiming to enhance financial inclusion through digital financial services.
In a country where a significant portion of the population lacks access to traditional banking services, Kazang aims to enable more retailers to accept mobile money payments by providing instant settlement to all banks and daily reports for seamless reconciliation.
A FinScope Survey from 2020 highlighted that digital financial services, particularly mobile money, played a crucial role in increasing financial inclusion in Zambia.
The survey revealed an overall increase in the financial inclusion of the adult population to 69.4%, up from 59.3% in 2015.
Kazang, operational in Zambia since 2007, has played a pivotal role in driving this growth, extending its presence to 75 towns with a staff of 500 members and a robust agent network of over 13,000. The company has processed annual transactions totaling US$525 million.
Leon de Wit, Managing Director of Kazang Zambia, expressed the fintech company’s commitment to expanding its agent network to 30,000 within the next two years.
Over the years, Kazang has strategically partnered with providers of digital financial products and services, including mobile network operators, banks, and utilities, integrating their offerings onto the Kazang platform.
Looking ahead, Kazang plans to introduce Visa Card acquiring across all TimpaX terminals in Zambia by 2024.
This move, approved by the Bank of Zambia, aims to provide instant settlement, allowing small and medium enterprises (SMEs) to access their funds immediately after transactions, enhancing what Kazang terms “Transactional Acceleration.”
While Zambia currently experiences low formal financial inclusion, the increasing adoption of mobile money payments, supported by initiatives like Kazang’s partnership with Woolworths, is expected to contribute to a shift in this landscape, signaling a digital payment evolution driven by mobile technology.
