Let's move to security in mobile banking

| Wednesday September 2, 2009 00:00

Other major banks, among them, Barclays and Stanbic are also introducing cellphone banking. We think this an important chapter in the development of Botswana's banking industry. This will not only improve the banked to much more easily access banking services, but will also make it easier for those who remain out of reach to finally join those already using banking services. Banking services, despite the many criticisms, remain an integral part of a secure financial system.

Mobile phone penetration in this country continues to improve to cover even the remotest regions. It would not be far-fetched to say that in every family in this country there are a number of cellphone users. In fact it is no longer unusual to find a senior citizen utilising cellphone technology. Also members of the working class in urban areas stay in constant touch with their relatives and dependents, largely in rural areas. The ability to use cellphones in conducting financial transactions should therefore, lead to expanded access to banking services by everyone.

However, while these strides are being made we have to be alert to the potential challenges that come with the latest advances in science and technology. We would like to urge banking services providers to particularly make sure that their customers do not fall victim to new money-laundering scams. They should further help make accessing cellphone banking secure. In these times of electronic communication, the criminal has become quite sophisticated and it is important that both the banking services provider and the customer are diligent in their interaction. We wish to throw this challenge to the banking industry to keep this in mind while they continue to improve accessibility.

Security should never be sacrificed for the sake of commercial success. We think this is important. We would also like to urge customers to be conversant with new potential dangers. This naturally calls for closer cooperation by the banking services providers, customers and law enforcement fraternities.

                                                      Today's Thought

'Thieves always follow the money. Thieves followed the money to the desktop (computer) and they'll follow the money here.'

                    - Bob Egan, chief analyst for research US firm, Tower Group