Kazang, the prepaid value-added services (VAS) and card acquiring business within Nasdaq and JSE-listed fintech Lesaka Technologies,  has partnered with TymeBank, the first digital bank to reach profitability in Africa, to make cash withdrawals more accessible to consumers in townships, rural areas and other underserved areas.

TymeBank customers can use their cards to withdraw cash from spaza shops and traders nationwide that operate Kazang Pay-enabled VAS terminals. This offering turns informal traders into one-stop shops where customers can buy prepaid electricity, airtime and data as well as gaming vouchers, do daily shopping, send remittances, pay bills and draw cash. 

Kazang operates a national network of more than 90,000 value-added services (VAS) devices processing around 3 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, said: “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 pay for a taxi and queue at an ATM to access their wages or social grant payout.

“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 settled 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.

Visagie added that a key factor in the success of partnerships between Kazang and banks like TymeBank is the joint investment they make in marketing. In the case of TymeBank, the Kazang Pay in-field marketing team installed thousands of posters and stickers at vendor points of sale nationwide as well as wall paintings at strategic sites. 

Says Cheslyn Jacobs, Chief Commercial Officer at TymeBank: “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’s ability to drive awareness and market penetration through its specialist in-field marketing team is contributing notably to our collective success.”

ABOUT KAZANG

Kazang is a leading provider of cash and digital solutions to merchants in Southern Africa’s informal economies. Our fintech solutions include a diverse range of value-added services (VAS), card acquiring, secure cash vaults and supplier payments platforms. Operating with a network of approximately 90,000 active devices, we process approximately 3 million transactions daily in markets such as South Africa, Namibia, Botswana, and Zambia.

We are dedicated to helping small and medium merchants grow and succeed, through increasing their sales, making their businesses more efficient and reducing their risks with its holistic portfolio of products and services. Kazang is a member of Lesaka Technologies.  

 ABOUT LESAKA TECHNOLOGIES, INC

The Connect Group and Kazang was acquired by Lesaka Technologies, Inc. in April 2022. Lesaka Technologies, (Lesaka™) is a South African Fintech company that utilizes its proprietary banking and payment technologies to deliver superior financial services solutions to merchants (B2B) and consumers (B2C) in Southern Africa. Lesaka’s mission is to drive true financial inclusion for both merchant and consumer markets through offering affordable financial services to previously underserved sectors of the economy. Lesaka offers cash management solutions, growth capital, card acquiring, bill payment technologies and value-added services to retail merchants as well as banking, lending, and insurance solutions to consumers across Southern Africa.

Lesaka has a primary listing on NASDAQ (NasdaqGS: LSAK) and a secondary listing on the Johannesburg Stock Exchange (JSE: LSK). Visit www.lesakatech.com for additional information about Lesaka Technologies (Lesaka ™). $LSK / $LSAK

About TymeBank

TymeBank is currently one of the world’s fastest-growing digital banks and the first digital bank to reach profitability in Africa, with 10 million customers since launching in February 2019. The bank is founded on simplicity, transparency and affordability and is designed to make digital banking accessible and affordable to all South Africans across the economic spectrum. TymeBank has no monthly banking fees, it takes less than five minutes to open an account and in most cases transaction costs are 30 to 50% lower than what customers would pay at other local banks. Through a distribution partnership with Pick n Pay, Boxer, and TFG stores, TymeBank has over 1,000 kiosks and 15,000 retail points across the country. Retail Capital, a division of TymeBank, is the largest SME funder of its kind in the sector. 

For more information visit www.tymebank.co.za.