Kazang, the card acquiring business within fintech firm Lesaka Technologies, has partnered with TymeBank, to make cash withdrawals more accessible in the remote areas of South Africa.
TymeBank customers can now use their cards to withdraw cash from spaza shops and traders nationwide that operate Kazang Pay-enabled value-added services devices.
According to a statement, this collaboration turns informal traders into one-stop shops, where customers can buy prepaid electricity, airtime, data and gaming vouchers, as well as do daily shopping, send remittances, pay bills and draw cash.
Acquired by Lesaka Technologies in April 2022, Kazang is a provider of cash and digital solutions to merchants in Southern Africa’s informal economies. Its fintech solutions include a range of card acquiring, secure cash vaults and supplier payments platforms and devices.
TymeBank customers can also withdraw at select Pick n Pay and Boxer stores across the country.
Cheslyn Jacobs, CCO of TymeBank, says: “Among our 10 million customers are many who still rely heavily on physical cash for day-to-day transactions. By working with Kazang, we can offer them more points where they can access easy withdrawals, including at shops and traders that are conveniently located in their communities.”
Kazang operates a national network of more than 90 000 devices, processing around three million transactions daily, with around 60 000 of these enabled to accept card payments and allow cash withdrawals through the Kazang Pay card acceptance solution for micro merchants.
Malcolm Visagie, business manager at Kazang Pay, comments: “Cash withdrawal is an invaluable service for the informal market because consumers in townships or rural areas can do all their day-to-day shopping and transacting at a local trader.
“This removes the need to queue at an ATM to access their wages or social grant pay-out.
“It also enables customers to withdraw money as needed, rather than making one large withdrawal on a monthly or weekly basis. For merchants, offering TymeBank withdrawals is a great way to attract foot traffic and build customer loyalty. Additionally, it helps reduce cash-handling risks and costs by cycling cash through their customer base.”
Withdrawals and card payments through the Kazang Pay terminal are instantly settled in a digital wallet. Merchants can pay their suppliers from wallet funds. This reduces the security risks associated with cash and helps merchants to manage their operating capital more efficiently, according to the company.
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