Ubank and telecommunications giant MTN have launched their South African mobile money service, MoMo, they announced in a joint statement on Thursday.
The partnership seeks to take advantage of the prospects in the mobile finance tech space in South Africa as the banking sector continues to undergo significant changes.
According to the statement, Ubank will facilitate participation in the MoMo environment, allowing customers to perform transactions and make necessary payments using MoMo.
Ubank CEO Luthando Vutula said he considered it a privilege for Ubank to partner with MTN to offer a service that would create value for consumers in under-serviced segments of the market.
"In today's highly digital world driven by evolving Fintech, we are proud to partner with MTN SA in providing mobile money services," said Vutula.
MTN SA chief officer of mobile financial services Felix Kamenga said Ubank gave the telecommunications company a key advantage in its bid to implement mobile money services in South Africa.
"We believe that MoMo will truly help close the gaps between banked and unbanked consumers in South Africa, and furthermore, help consumers have other channels to receive and send money safely and securely," added Kamenga.