ABSA BANK TANZANIA DRIVES CASHLESS ECONOMY WITH DIGITAL INITIATIVES

The first winner of Absa Bank Tanzania’s Spend & Win campaign, Mr. Rashidi Saidi (right) holds the ignition key to a brand-new 2024 Subaru Forester, shortly after it was presented to him by the bank’s Managing Director, Mr. Obedi Laiser (center), at an event in Dar es Salaam. The campaign aims to encourage more Tanzanians to adopt digital banking solutions, such as debit and credit cards, which offer safety, convenience, and access to a range of banking services.

Absa Bank Tanzania Managing Director, Mr. Obedi Laiser (third left), addresses participants during the handover ceremony of a brand-new 2024 Subaru Forester to the first winner of the bank’s ongoing Spend & Win campaign, Mr. Rashidi Saidi (third right), at an event in Dar es Salaam. The campaign aims to encourage more Tanzanians to adopt digital banking solutions, such as debit and credit cards, which offer safety, convenience, and access to a range of banking services.

Absa Bank Tanzania is intensifying its efforts to promote a cashless economy by encouraging the use of digital transactions.

The bank’s Managing Director, Mr. Obedi Laiser, highlighted that digital adoption not only enhances convenience but also reduces reliance on cash-based transactions, aligning with the government’s financial inclusion agenda.

“The use of banking services remains low in our country. As financial stakeholders, we must innovate to encourage citizens to embrace formal financial systems,” said Mr. Laiser during the second draw and handover ceremony for the bank’s ongoing three-month Spend & Win campaign. The first winner of the campaign received a brand-new 2024 Subaru Forester.

Mr. Laiser added, “The campaign’s theme, ‘Winning a car can change your story,’ aligns with our brand promise, ‘Your story matters.’ At Absa, we strive to be part of our customers’ journeys, helping them achieve their goals and dreams step by step.”

The push towards a cashless economy is gaining momentum, supported by initiatives such as the growing use of mobile money services, career-oriented financial programs, and digital banking solutions that enhance access to financial services.

In Tanzania, financial institutions are increasingly offering digital banking options, including online banking, mobile apps, and electronic funds transfers, which contribute significantly to reducing cash transactions.

According to last year’s Finscope report, formal financial inclusion in Tanzania improved from 65% in 2017 to 76% in 2023. However, challenges persist as a large segment of the population remains underserved.

To address this gap, Absa launched the Spend & Win campaign, a three-month initiative aimed at encouraging the adoption of digital banking channels while reinforcing the bank’s commitment to advancing financial inclusion.

Absa Tanzania’s Head of Retail Products and Strategy, Mr. Heristraton Genesis, stated that the campaign aligns with the lender’s goal of shifting customers from traditional banking methods to digital transactions.

A recent monthly winner of the campaign, Mr. Rashid Said, praised the bank’s efforts to promote a cashless economy. “With the Absa card, I can do everything and everywhere. I no longer need to carry cash like before,” he said.

The Spend & Win campaign, which began in September, is set to conclude in December 2024.