Telkom Kenya is set to join the digital credit industry with the launch of mobile loans services. the company plans to join the growing market, which includes Safaricom’s M-Shwari in offering mobile lending services.
Through its Mobile cash platform, T-Kash, Telkom says it has tested the feasibility of the service
“From our interactive sessions with our customers, we have taken note that Kenyans appreciate mobile money solutions better when they keep on finding more reasons to attach value to their mobile wallets, whether they are sending money, paying for goods and services, saving, borrowing or trading,” the telco said in a statement.
The telco is planning to launch the service alongside a financial institution to allow T-Kash customers access to instant credit via their mobile phones.
“We continue to have these exploratory sessions that will inform and enhance the experience we offer our customers; we will be able to update once the new value proposition is ready for the market.”
Kenya has seen an influx in mobile lending apps including KCB Group’s KCB M-Pesa and NCBA Group’s M-Shwari, which are operated in partnership with Telkom Kenya’s rival Safaricom.
Through the service, Safaricom subscribers can apply for a loan and receive on their mobile phones within minutes. According to official data from the Central Bank of Kenya (CBK), 67.94 million Kenyans had registered mobile money accounts as of February 2022.