mPOS helps payment settlements

Barclays Bank of Botswana launched a mobile paying system this week Tuesday, called mobile Point Of Sale (mPOS) which will see customers process transactions within cell phone network range, to help  businesses and entrepreneurs who don’t have a fixed place of operation.

The bank, announced at the launch of the system — mobile Point Of Sale (mPOS) that the service will benefit on-the-go businesses such as transportation, catering and delivery sectors.

“The device does not usher any groundbreaking features to card payments but it does, in contrast to its older counterpart, offer convenience of mobility given that it has been shrunk to half its size,” Barclays Bank Botswana Director of Lending Dineo Shaleshando explained at the launch.

The other notable difference is that it sends digital receipts to a customer’s phone in the form of an sms, and much like many digital and smart devices comes with a rechargeable battery.

The “first and only exclusive mPOS” in Botswana, was taken through a piloting phase, before it could be introduced to the market.

After it has passed testing phase, Barclays approached businessman in the local transport sector, Seabelo Tlhaselo of Seabelo Express transport service to participate in the device’s pilot project.

Tlhaselo said the experience of mPOS, since its pilot trials last year reduced the risk of carrying cash around, something he credited hence the service eliminated such risk.

Seabelo buses travel Botswana to Johannesburg, South Africa and to Bulawayo, Zimbabwe routes.

The device is dependent on the coverage of mobile network which given the wide coverage of mobile network operators makes the device readily accessible. Problems  were encountered in the use but had been sufficiently addressed.

Businesses and entrepreneurs subscribe in using  mPOS  are charged an initial installation fee of P293 (about US$ 29) following a monthly rental fee of P120 (about US$ 12) the use of the device will be charged by Barclays.

mPOS currently operates on a dual sim connected through Mascom and Orange mobile network operators. BeMobile is yet to follow suit.

Barclays settles the billing from Mascom and Orange on behalf of the merchants however it earns a fee on every payment processed. The fee ranges between 2 percent and 5 percent based on the turnover that the business makes.

Accessibility depends on coverage of network, it means that without coverage mPOS will not work, however it is expected that the use of dual mobile networks will provide alternative coverage in the case of either one losing network coverage.

36th GITEX Technology Week
16-20 October
Dubai World Trade Centre

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