Equity Bank Rwanda has launched EMMA, a digital banking platform that brings payments, savings and access to credit into one mobile account, in a move aimed at expanding access to formal financial services for individuals and small businesses.

Available through the EMMA mobile application and USSD code *555*6#, the platform allows customers to open and operate an account using a mobile phone without necessarily having an existing Equity Bank account.

Launched on November 5 under the slogan "Designed for All. Perfectly Tuned to You” (Ni Iyawe), EMMA seeks to bridge the gap between widespread mobile money use and access to formal banking services.

The Rwanda FinScope 2024 Report survey found that about 96 per cent of Rwandan adults were financially included, largely through mobile money, while only around 22 per cent held formal bank accounts.

Equity Bank Rwanda Managing Director Hannington Namara said the platform was designed to make banking services accessible beyond conventional working hours and branch operations.

"For a long time, banks have been accused of not being daily relevant. When we close doors in the evening, people retreat to mobile money. Weekends, public holidays, we were not as relevant as banks,” he said.

Namara said EMMA was intended to provide digital banking services rather than simply introduce another mobile wallet.

"It is not mobile money. Please don’t confuse it with MoMo and Airtel Money. No. Yes, it has functions that look like those of the telcos, our partners in telcos, and we work together very well,” he said.

Customers can send and receive money, pay for goods and services, deposit cash through approved agents and transfer funds across participating financial institutions. Through Rwanda’s eKash interoperability platform, EMMA connects with participating banks and mobile money providers, including MTN MoMo and Airtel Money.

There is no minimum opening balance or monthly maintenance fee. Transfers between EMMA customers, Equity accounts and participating eKash-connected merchants are free, as are cash deposits at approved agents and airtime purchases. Transfers to external participating banks and mobile wallets attract a flat Rwf20 fee, while standard charges apply to cash withdrawals and other specified services.

Using transaction history to expand access to credit

A key feature of EMMA is its potential to help customers build financial histories through everyday transactions, which the bank can use when assessing them for credit.

Equity Group Commercial Director Rita Okuthe said the approach could help people with irregular incomes or limited conventional documentation access smaller loans.

"Every time you make a payment, you’re actually building your financial history, and that history gives us the opportunity to lend you some money,” she said.

She added: "We’re not going to ask you to bring, you know, your father’s title deed. No, we want to give you something small, such that you're able to start your day.”

Namara said the bank's longer-term ambition was to use customers’ transaction data as a basis for determining their borrowing limits, reducing reliance on conventional collateral and paperwork.

"The end in mind with EMMA is that your transaction history or your transaction data will be your collateral. We will not ask you to fill papers, to do everything,” he said.

At launch, eligible customers could access the EMMA Overdraft and short-term digital loans, with borrowing costs, repayment periods and applicable charges disclosed before acceptance. Overdraft balances are recovered automatically from subsequent deposits.

Savings and agricultural services

EMMA also offers Regular Savings and Term Savings accounts, allowing customers to put money aside for needs such as school fees and business investments.

Namara said the bank wanted to move beyond basic access to financial services towards helping people build their livelihoods.

"Financial inclusion has been done by many people. We, Equity, we want to do economic inclusion,” he said.

Through EquiFarm, verified farmers linked to agricultural anchors can receive payments for their produce, buy certified agricultural inputs and access tailored agricultural financing.

Rwanda first to launch the platform

Okuthe said Rwanda was the first market among Equity Group subsidiaries to introduce EMMA, citing the country's environment for innovation and digital transactions.

"Rwanda, out of all the Equity subsidiaries, this is the first place where we’re launching EMMA,” she said.

The bank also announced a partnership with Sink Events to explore financial opportunities for content creators.

Namara said further capabilities were being developed to help creatives earn from their work, while integrations with international payment platforms such as Apple Pay, Alipay and PayPal were planned for the future.