Indian private sector bank, ICICI bank has inked a deal with Movida, the joint venture of Visa Inc. & Monitise, to utilize Movida’s mobile payments service for the Bank’s customers. With the deal, ICICI Bank payment card holders can now pay bills, recharge prepaid airtime and buy cinema tickets directly from their mobile device.
Movida services can be accessed through a menu based USSD mobile technology (GSM cellular telephones to communicate with the service provider’s computers), or an Interactive Voice Response (IVR) in multiple languages and will be available from any type of mobile phone, including basic models. The services will be available for operation across all mobile networks using any payment card – Visa and non-Visa.
There are around 862.62 Mn mobile users in India as per TRAI, and as mobile payments take less time and energy while paying bills or recharging phones or booking tickets, it has created potential for scope of mobile payments industry in India.
The cardholders can make payments by linking their payment card to their mobile phone number registered with ICICI Bank, with their card account being kept secure by a PIN number.
Alastair Lukies, Monitise Group, Chief Executive said that they have seen a strong commitment from banks in the region to provide relevant payment services to their customers.
Rajiv Sabharwal, Executive Director, ICICI Bank, said that there is a high level of demand from consumers to use their mobile phones for financial transactions and thus they are constantly innovating new ways that offer greater choice and convenience to users. “This service by Movida will ensure they can get immediate access to a secure and simple solution that can be utilized even without an active internet connection,” he added.
ICICI Bank, has also tied up with MMP Mobi Wallet Payment Systems Ltd, a Tata Teleservices Ltd. subsidy to launch a money transfer service. Recently, ICICI bank with Aircel has also launched a mobile banking service – Mobile Money.
Movida has also tied up with HDFC bank to offer similar service to the HDFC customers. Movida is a 50:50 Joint Venture between Visa (NYSE: V) and Monitise (LSE: MONI.L), it works primarily with financial institutions and mobile service operators to provide services to consumers across India.
ICICI Bank Limited (NYSE:IBN) is India’s largest private sector bank and the second largest bank in the country, with consolidated total assets of US$ 124 billion on March 31, 2013. It is spanned over 19 countries, including India.