Mobile banking en route

Mobile banking is coming to Myanmar, says the Cooperative Bank. As soon as they get the green light from the Central Bank, account holders will be able to make money transfers and even spend money in restaurants and shops using their mobile phones, said U Oo Thein Myint, who handles mobile banking for CB Bank.

The Central Bank has already devised electronic banking rules to allow mobile banking for all domestic banks, sources said.

“The Central Bank has hinted that agreement might come next month. We have tested our software systems and we are ready,” said U Oo Thein Myint.

Would-be users would be required to first open a savings account then install software on their mobile phones that would allow them to use the service. Charges will vary from free to about K1 per K1000 depending on the distance.

Merchants wishing to use the service will also have to open an account and buy and install a point of sale device, the cost of which will be US$500, split between the bank and the vendor.

Mobile banking has become an efficient alternative to traditional banking in developing countries as more people tend to have access to mobile phones rather than banks. Currently, less than 10 percent of Myanmar’s population holds a bank account as Myanmar’s economy remains largely cash-driven.

source: The Myanmar Times

http://www.mmtimes.com/index.php/business/8894-mobile-banking-en-route.html