Financial news

Egyptian Banks Company (EBC) has strategically partnered with Visa to leverage its digital financial services and expertise, as well as the advanced technological infrastructure managed by EBC, to introduce a range of new solutions including electronic payment services and digital wallets.

EBC and Visa have signed a memorandum of understanding (MoU) that establishes a comprehensive framework for collaboration, as both organisations initially focus on two key projects to facilitate remittances for citizens of Egypt living abroad.

The first project proposes the introduction of an additional service to the InstaPay application, enabling customers to initiate transfers from Visa-linked accounts outside Egypt, with funds seamlessly deposited into registered customers’ accounts or transferred to other customers via the Instant Payments Network (IPN).

The second project involves partnering with banks and financial institutions to facilitate transfers to beneficiaries in Egypt using IPN’s phone number or username directory.

Leila Serhan, senior vice president for North Africa, Levant, and Pakistan (NALP) at Visa, said: “Remittances from Egyptian expatriates play a pivotal role in the national income and foreign currency inflow, providing vital support to countless families in Egypt and abroad. Egypt’s large diaspora, spanning numerous countries, underscores its position as the fifth largest recipient of remittances globally. The export of Egyptian talent and expertise abroad not only generates foreign currency but also supports the domestic economy.

“The MoU between Visa and EBC, under the auspices of the CBE, is instrumental in leveraging Visa’s global network strength, unlocking the full potential of the Egyptian payment ecosystem, and working closely with EBC to map a path towards financial inclusion through the digitisation of payments in Egypt. This collaboration will enable the Egyptian market to benefit from Visa’s global payment strategy, share market insights, and access cutting-edge technological innovations.”

Supporting financial inclusion in Egypt

Tarek Raouf, executive chairman and CEO of EBC, commented: “The Instant Payments Network (IPN), supported by the InstaPay application, has brought about a tremendous increase in financial inclusion rates since its launch in March 2022. The application has empowered customers within Egypt to securely make instant transfers among bank accounts, cards, and mobile wallets.

“I am highly optimistic about the collaboration between Visa and EBC to drive innovation in cross-border digital payments, aiming to expand the user base of the InstaPay application beyond Egypt by utilizing Visa’s global presence. Both entities will work together to provide innovative digital solutions to global users of the application, ultimately increasing financial inflows into Egypt and stimulating long-term economic growth”, he added.

This partnership aims to enhance the user experience and expand the array of services offered by leveraging the strong presence of Visa’s global network while relying on the unique instant transfer experience provided by EBC through the InstaPay application.

Mastercard collaboration

The news comes shortly after Egyptian Banks Company furthered its collaboration with payments giant Mastercard, in an effort to enhance the digital payments landscape and drive inclusive economic development in Egypt.

Khalid Elgibali, division president, MENA at Mastercard, commented: “Over the past two decades, Mastercard has been actively involved in introducing cutting-edge digital payment solutions into the Egyptian landscape, steadfastly aligning with the government’s vision for a financially and digitally inclusive future.

“This collaboration is set to play a pivotal role in shaping the digital payments landscape, fostering financial inclusion, and contributing to sustainable economic growth in Egypt.”