The International Finance Corporation (IFC), a member of the World Bank, is to acquire 10% of Wizzit Bank, the virtual banking division of the South African Bank of Athens.
The value of the deal has not been disclosed.
Sandton-based Wizzit, launched three years ago, targets the country`s underbanked and unbanked population, offering them a complete bank account via their cellphones.
"Helping the financial sector become more inclusive by extending bank services to the poor is an important part of IFC`s strategy to strengthen Africa`s private sector," says IFC executive VP and CEO Lars Thunell.
Wizzit says it will use the funds from the deal to expand its banking services first in SA and then in other countries.
Related stories:
Study casts doubt on m-banking for poor
Cellphone banking targets unbanked
Share