Business Reporter
BancAbc is set to introduce agency banking as it looks at penetrating previously under-banked areas while also serving its clientele operating in the less reachable parts of the country.
BancAbc head of retail Rufaro Hatendi told The Herald Business that the financial institution will roll out agency banking before the end of the year.
“We are looking at expanding our presence in the country but the expansion is not necessarily going to be premised on the traditional brick and mortar model. We expect to roll out agency banking to complement the current branch network,” said Mr Hatendi.
BancAbc currently has 22 branches countrywide.
According to the Reserve Bank of Zimbabwe, the use of the agent banking model has potential to significantly increase financial access by the poor and under-served population.
The Reserve Bank recognises that agent banking is critical to overcoming existing barriers to financial inclusion and for empowering the population to realise their full economic potential while contributing to economic growth.
Benefits of agency banking to customers include lower transaction costs and increased convenience due to longer opening hours and shorter waiting queues at agents compared to conventional branches.
Mr Hatendi added that BancAbc has a clear cut strategy to drive Government’s financial inclusion strategy.