Fintech props up EcoCash revenues



from MARCUS MUSHONGA in Harare, Zimbabwe
Zimbabwe Bureau
HARARE, (CAJ News) – THE finance technology (fintech) business has been the major contributor to EcoCash Holdings’ revenues as it transitions from a payments business to a digital financial services platform provider in Zimbabwe.

The diversified technology group recorded revenues of ZW$218 billion (US$601,7 million) for the half-year ended August 31, a growth of 40 percent compared to ZW$155 billion in the prior year.

The fintech business contributed 76 percent of revenues, followed by the insure-tech business at 20 percent.

Lastly, digital platforms weighed in at 4 percent.

The fintech business, namely EcoCash and Steward Bank, remains the largest contributor with performance being driven by new product innovations, and growth in the forex revenue contribution.

This is a result of the deliberate growth in the business.

EcoCash experienced a net profit position of ZWL$130 million, notwithstanding exchange losses of ZW$167 billion associated with the debentures.

The debentures were resolved by way of capital raised through a renounceable rights offer.

“As a result, we anticipate improved profitability going forward,” Sherree Shereni, EcoCash chairperson, stated.

During the first half of 2023, EcoCash continued its nationwide expansion within the mobile money sector.

It increased the number of merchants who accept EcoCash payments and re-launched the EcoCash Express Debit.

Steward Bank launched Steward Pay, an online payment gateway that facilitates the processing of local and international payments online via VISA, Mastercard, EcoCash and Steward Bank Accounts.

The Digital Bank also launched the account opening platform, Q-Not Card.

The insurtech businesses invested in enhanced technologies aimed at further improving service delivery, operational efficiencies and reducing claim turnaround times.

The first half of the year saw the launch of Internet-of-Things-enabled smart solutions, namely Asset Track and Fuel Monitoring.

– CAJ News

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