Drop in cards payments to affect Banks

Payments via cards experienced a dip as mobile payments experienced a spike. High uptake of mobile payments which has proved to be very convenient and popular with consumers has contributed to the growth.Banks are likely to suffer most as they have been enjoying lucrative commissions through Cards payments. Equity bank Africa's Biggest banks by customer base rakes in a whopping 40 million monthly in cards payments  processing commissions from volumes of 1.8 billion monthly. Equity has a customer base of 8 Million. This fall in card payments revenue comes in the wake of Cards migration to new generation Chip and Pin Cards from Magnetic stripe ones which were prone to too much fraud.Data from the Central Bank of Kenya shows that there are almost 14 million payments cards in use as at November 2014. The landscape for the lucrative retail payments arena now pits the banks totaling 44 against the 6 mobile money platforms. Safaricom with its MPESA flagship mobile money subsidiary has 70 percent of the market share and can be attributed for the spike in the mobile money transactions.
Kenya has 24.9 Million Mobile money users and a vast network of agents 121,000 in all. Mpesa boasts of a network of 32,000 merchants who have already embraced mobile money as their most preferred mode of receiving payments from customers. Some of the merchants which are enjoying quick convenient collections of payment are utility companies like Kenya power, and Nairobi water.Pay TV companies like DSTV, GO tv . A host of other merchants are hoping into the bandwagon. It will be interesting to see what new strategies banks will bring to the table.
The Mobile money platforms are MPESA MOBICASH Airtel Money Yu Cash Orange Money and Tangaza

List of Kenyan Commercial Banks

    ABC Bank  

    Bank of Africa

    Bank of Baroda

    Bank of India

    Barclays Bank Kenya

    CfC Stanbic Holdings

    Chase Bank Kenya

    Citibank

    Commercial Bank of Africa

    Consolidated Bank of Kenya

    Cooperative Bank of Kenya

    Credit Bank

    Development Bank of Kenya

    Diamond Trust Bank

    Dubai Bank Kenya

    Ecobank Kenya

    Equatorial Commercial Bank

    Equity Bank

    Family Bank

    Fidelity Commercial Bank Limited

    First Community Bank

    Giro Commercial Bank

    Guaranty Trust Bank Kenya

    Guardian Bank

    Gulf African Bank

    Habib Bank

    Habib Bank AG Zurich

    Housing Finance Company of Kenya

    I&M Bank

    Imperial Bank Kenya

    Jamii Bora Bank

    Kenya Commercial Bank

    K-Rep Bank

    Middle East Bank Kenya

    National Bank of Kenya

    NIC Bank

    Oriental Commercial Bank

    Paramount Universal Bank

    Prime Bank

    Standard Chartered Kenya

    Trans National Bank Kenya

    United Bank for Africa

    Victoria Commercial Bank