Google and Equity Bank have partnered in Kenya to launch cashless bus fare solution BebaPay, helping passengers use public service vehicles without the risk involved with carrying cash.
According to the two companies the solution will help formalise the sector while at the same time making it both manageable and orderly.
BebaPay which is powered by Google, will see operators tap into customers’ cards to receive payment through a card reader, with commuters able to top up the card from any Equity Bank agent countrywide.
According to Equity Bank chief executive officer (CEO) James Mwangi electronic payment for travel will see increased GDP growth.
“If we all embrace a cashless public sector transport this economy will grow by an additional two percent moving from the projected 6.1 percent to 8.1 percent,” said Mwangi.
Deputy president William Ruto agreed, saying the adaptation of technology is the key to increased economic growth.
“Harnessing technology the way we are witnessing this morning will take this economy to a double digit level under five years,” said Ruto at the launch.
Approximately 1.5 million people use public transport daily in Nairobi alone, with public transport in Kenya regularly affected by corruption, with traffic police, City Council police and organised gangs all accused of terrorising the sector.
The card can also be loaded from all mobile money transfer services, with commuters able to load up to KSh10,000 (approx $119) and own up to five cards. Cards will expire after six months of inactivity, the website states.
The BebaPay card will also earn the government close to KSh4 billion (approx $47.6 million) in taxes each year, money which has so far evaded the taxman due to the informal nature of the sector.
“This is the only business where a service is provided and workers choose to give you at the end of the day what they feel is right,” said Matatu Welfare Association chairman Simon Kimutai.
