- Bank to launch mobile top-up services

By Kaleyesus Bekele

The Commercial Bank of Ethiopia (CBE) two weeks ago linked its core banking system to the VISA Card system. Now international VISA card holders can go to the Automated Teller Machines (ATMs) of CBE and withdraw cash in birr. A senior official at CBE told The Reporter that the banks planned to also link its system with Master Card. CBE has installed 46 ATMs at different branches of the bank and business centers in Addis Ababa.

CBE awarded the card-based payment system turnkey solutions (CBPS) project to a Moroccan company, M2M, in March 2009. The project includes the supply, implementation and support of 50 ATMs and 250 Point of Sales (PoS), personalization system, switch and electronic fund transfer solutions, server platform and data base. According to the contractual document the project includes a three-year technical support. M2M, with its local representative and subcontractor, MOTI Engineering Plc, commenced work on the project in April 2009. The companies conducted adequacy study and started delivering the ATMs last June. The total cost of the project is about 77 million birr.

A senior official of CBE told The Reporter that the companies have installed 46 of the 50 ATMs. The official said the remaining 4 are being installed. The 46 ATMs are operational with domestic card as well as VISA Card. The bank official said the VISA Card certification process was finalized two weeks ago, adding that the testing was successful.

The ATMs are installed at the bank’s branch offices in Addis Ababa, business centers, at the Hilton Hotel, the Ghion and Ethiopia hotels. CBE has recruited merchants who will run the POS. The POS were expected to be operational by December. CBE was the first bank to introduce ATMs in 2003. The bank launched the service with eight ATMs which were not compliant with VISA card. Dashen Bank introduced VISA card compliance ATMS in 2006.

Visa is a global payments technology company that connects consumers, businesses, banks and governments in more than 200 countries and territories, enabling them to use digital currency instead of cash and checks.

In related news, CBE is to launch mobile top-up services-recharging prepaid mobile accounts by deducting money from customer’s account at CBE and paying to the newly restructured Ethio Telecom and settling utility bills through mobile phones or ATMs. CBE is already testing the mobile top-up services. Employees of the bank are recharging their mobile accounts without buying scratch cards. The system enables customers to pay electric and water bills. However, the bank needs to make agreements with the Ethiopian Electric Power Corporation and Water and Sanitation Services Authority and interface the systems.

EthiopianReporter