Technological advancements continue to shape our world, bringing forth new innovations and transforming various industries. In the realm of financial technology (fintech), these advancements have paved the way for groundbreaking solutions that empower businesses, particularly Micro, Small, and Medium-Sized Enterprises (MSMEs).
In an exciting move, Absa Bank Uganda has unveiled the Absa Mobi Tap functionality, revolutionizing how MSMEs accept payments.
With this new feature, businesses can now utilize their smartphones as Point-of-Sale machines, allowing customers to make contactless payments using any compatible ATM card.
What is Absa Mobi Tap?
Absa Mobi Tap is a pioneering feature that enables MSMEs to accept card-based payments from customers using their smartphones. By transforming smartphones into portable Point-of-Sale machines, this technology empowers businesses to expand their payment options and cater to a wider customer base.
With the integration of contactless-enabled ATM cards, customers can conveniently tap their cards on the merchant’s smartphone screen to make payments securely and efficiently.
Why was Absa Mobi Tap introduced?
During the launch event at the National Theatre, Michael Segwaya, Absa Bank Uganda’s Executive Director and Chief Financial Officer, highlighted a significant hurdle faced by MSMEs—their informal and unbanked nature. This challenge inhibits their access to credit and investor opportunities.
By introducing Absa Mobi Tap, the bank aims to provide small businesses with a digital record of transactions, enabling them to manage their finances more effectively and demonstrate their viability to potential funders. This feature addresses the need for financial inclusion and supports the growth of MSMEs in Uganda.
How to access Absa Mobi Tap
Accessing Absa Mobi Tap is a straightforward process, designed to provide maximum convenience for merchants. The application can be downloaded from the Google Play Store onto any NFC-enabled smartphone, instantly transforming it into a powerful tool for accepting card-based payments.
For merchants who do not possess NFC-enabled phones, Absa Bank Uganda offers an alternative device at an affordable fee. This inclusive approach ensures that businesses of all sizes throughout Uganda can benefit from the Mobi Tap functionality, expanding the merchant footprint in the MSME sector.
What they said
During the launch event, the significance of Absa Mobi Tap was reinforced by the statements of key speakers and representatives.
Michael Segwaya, Absa Bank Uganda’s Executive Director and Chief Financial Officer, emphasized the positive impact this technology will have on small businesses, saying, “We are presenting an option for small businesses to have a clear, digital record of their transactions – which will go a long way towards helping them better manage their finances and demonstrate their viability to potential funders.“
Sam Kiyaga, Absa Bank Uganda’s Head of Cards, highlighted the immense potential of this feature in leveraging the widespread availability and usage of smart devices in the country.
Kiyaga explained, “You can open a business account with your smartphone, and with Mobi Tap, you can receive card-based payments that go straight to your account by having a customer simply tap their contactless-enabled card on your device’s screen.” He further added, “For merchants who do not have NFC-enabled phones, we shall provide an alternative device at an affordable fee – with a view to grow the merchant footprint for the SME sector throughout Uganda.“
