Uganda, Rwanda Adopt Kenya’s Mandatory Online Payment System
William Ruto, the Managing Director of the Kenya Pipeline Authority (KPA), has traveled to Uganda and Rwanda to advocate for the uptake of the Kargo Pay application, which has been operational for under a year.
The launch of the application took place in July of the previous year as part of KPA’s initiative to replace credit ledger payments with a preference for the cash system.
Ruto journeyed to the transit markets to interact with clients and stakeholders, aiming to raise awareness and encourage the use of the Authority’s online payment platform.
The CEO of KPA initially visited Uganda, describing the trip as a success with a predominantly positive response to the system. Currently, he is in Rwanda promoting the same initiative.
“The Kargo pay application, introduced in Kenya in mid-August 2023, has now been extended to Uganda and Rwanda, marking a significant milestone in the modernization of payment processes within the region,” read a statement from KPA in part.
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“One of the key advantages of Kargo pay highlighted by Captain Ruto is the ability to improve the accuracy and timeliness of collections by enabling customers to make direct payments from their bank accounts 24/7 as soon as invoices are issued.”
Upon its introduction, Ugandan traders praised it as an advanced electronic payment system poised to transform the effectiveness and processing of port fees.
The Kampala City Traders Association (KACITA) observed that Kargo Pay was positioned to enhance the efficiency of the payment system. The existing ledger system compelled certain traders to handle substantial amounts of money, and the system’s sluggishness in clearing goods was a notable issue
“This has been a big threat to our lives because you just never know who knows about the money you are carrying,” observed KACITA Chairman Thaddeus Musoke.
“Others have been moving the money through the bands and even then, it has been inconveniencing.”
With Kargo Pay, traders can now choose to make payments using either bank cards or mobile money alternatives, with clearing taking place immediately thereafter.
The app furnishes the traders with business statements afterward.
Uganda, Rwanda Adopt Kenya’s Mandatory Online Payment System
