(Last Updated On: May 29, 2014)
Matatu Owners Association (MOA) launched its own mode of cashless payment system for bus fares in Kenya. This is in order to grab a share of the sh205 billion which is made by public transport business.
The government of Kenya plans to ban cash transactions on public transport in July so as to enhance tax collection in the industry. 1963 Jinice by MOA is the new firm in the market which will battle with Safaricom’s Lipa Na M-Pesa, Equity Bank & Google’s BebaPay, HongKong firm’s Taptopay, Pesaprint etc
The association will charge PSV operators less than one per cent commission. Safaricom charges one percent as commission for usage of their platform.
Introduction of cashless payment systems will help curb the drastic increase in fares whenever it starts raining. However so far there are many players in the industry thus becomes very confusing for the passengers on which one to use. The national Transport and Safety Authority (NTSA) is looking for a way to integrate the whole system.