By Ndumbe Bell Joseph Gaston in Douala
The subsidiary of one of the leading mobile telephonies of Cameroon, MTN MoMo Corporation, has declared that they have obtained an agreement with the COBAC financial regulatory institution for CEMAC and the Ministry of Finance that now recognizes MTN MoMo Corporation as a payment institution.The recognition henceforth reinforces their role as financial players and further creates opportunities to their customers and also provides assurances and legitimacy in the records of other financial institutions such as BEAC, commercial banks and micro financial institutions.
The declaration was made live by the General Manager, Alain Nono at the headquarters of MTN Cameroon in Douala, the economic capital of CEMAC countries last May 16 to invited media practitioners including Facebook.
He explained thatby having obtained today their agreement from COBAC that spells out that MoMo corporation is now a payment institution gives them the leverage to continue to seek means and services that will act as solutions to continue to fight the high cost of living that has been proposed on society through inflated food and fuel prices on a daily basis.
The General Manager highlighted that among their many services that the public has, such as the rate of transfer of money by 50% and the introduction of a free messenger product called ayoba among others, to alleviate the conditions of financial hardship, the MoMo leadership product also created.
It was to ameliorate the dignity of the individual in Africa by introducing a loan service at MoMo *126# ; 6 arranged with some microfinance institutions to create more financial inclusion whose percentage penetration with banks was as low as 12 percent but has now risen to 33 percent because of their contributions.
MTN MoMo Corporation said they will continue to redress the daily and sometimes urgent needs of the public by assisting them to avoid the harsh and burdensome guarantees that some financial institutions have been demanding and imposed on them.
For example, the G.M recounted that to fight “Ngueme” or financial hardship, the loan product that was launched earlier has already registered over 8,000 beneficiaries in April for those who have gone through the process.
This is a loan service of maximum FCFA 100,000. When reimbursed in 3 days attracts no charges. Beyond these first 3 days, it will start attracting charges of 7.5 percent; when reimbursed in a month it will attract charges of 15 percent. The transactions depend on the profiles of the customers. If they are satisfactory they will be announced eligible to have the loan on the phone. The program will go on even after July 3 this year.
According to the GM Alain Nono, the obtention of the COBAC authorisation has provided further impetus and encouragement to find solutions to alleviate financial hardships and fight the high cost of living as MTN MoMo Corporation continues to listen to complaints, suggestions and share experiences with their partners, customers and public. MTN MoMo Corporation is said to belong to the GSMA International group.