Ecocash Vs Telecash, RBZ Plays Referee

0

By Wilson Mtetwa

After a long season of watching haplessly the developing rages of Econet Vs Telecel escalate in every possible direction now falling beyond the jurisdiction of the Telecoms regulator, Potraz, Finally it looks like this match will have an official referee the Reserve Bank Of Zimbabwe (RBZ) , Closely watching the developments.

 

In response to the increase in cases of mobile payment system operators entering into agreements with agents in terms of which the agent is precluded from acting for any other mobile payment system operator, the apex bank has directed the operators to abide by laws of the country.  

 

The rage was sparked by a text message purported to have been authored and distributed by an Ecocash executive warning agents against working with any other mobile operator, a move suspected to be targeted against Telecash, since the same directive was not issued when One wallet was launched.

,    

The Reserve Bank of Zimbabwe (RBZ) has pulled a yellow card  against  mobile payment system operators who are breaching provisions of the National Payment System Act by entering into exclusivity agreements with agents.

This was a direct caution to Econet Wireless who has been reported to have gunned for exclusivity and warned their agents


A report with the state broadcaster highlighted that the RBZ strongly warned any mobile operator against the practice as this will pit the future of mobile payment into disarray stating:

The RBZ says the exclusivity agreements are likely to have an adverse effect on competition and may be detrimental to the smooth operation of payment systems in the country.

The central bank has since directed the mobile payment system operators to apply to the RBZ justifying the necessity of the exclusivity agreements. 

According to the statement issued by the RBZ, an agent may offer services to multiple payment system providers provided that the agent has separate contracts for the provision of such services.

Where an agent provides services for more than one payment system provider, such an agent shall enter into a confidentiality agreement with each of the payment system providers for whom the agent will act.

According to the RBZ, the measures are part of efforts by the apex bank in promoting financial inclusion and the expansion of financial services in the economy. 

The measures by the central bank come at a time market analysts have called for a sound regulatory framework for the mobile financial services sector. 

 

In response to the increase in cases of mobile payment system operators entering into agreements with agents in terms of which the agent is precluded from acting for any other mobile payment system operator, the apex bank has directed the operators to abide by laws of the country.  

ZPC Wants A Project Engineering Manager

Previous article

Password Creating Tips

Next article

Comments

Leave a Reply