Afrocoin Mobile Money is launching a service that allows mobile phone users to send money to family members in Africa.
Initially, the service will allow international transfers into South Africa and Zimbabwe, with plans to expand further into Africa in the future, the Edmonton, Alberta-based startup states in a Sept. 26 press release.
Afrocoin Mobile Money says it is building a network of financial services partners to ensure transferred funds are accessible to those who do not have access to regular banking services or who live in remote areas of Africa.
The company says its goal is to use mobile technology to fuel the financial inclusion movement currently underway in Africa.
"Current money remittance service operators are not doing enough to improve distribution channel efficiencies, lower fees or provide greater access to Africa's unbanked or underbanked communities," Bongi Mlambo, president of Afrocoin Mobile Money, states in the press release.
"The current state of affairs was one of the main factors that motivated us to do something," Mlambo says.
Afrocoin's customers are able to send money through its website or through its mobile app.
It will deploy its payment system in Zimbabwe through a partnership with Allied Bank Zimbabwe. In South Africa, Afrocoin is working with partner Sikhona FX Financial to create a regional mobile money remittance service and mobile payments network.
When the service becomes available in Kenya and Uganda, Afrocoin Mobile Money customers will deliver funds through M-Pesa mobile phone accounts.