Zain pilots Zap money transfer service

Zain is set to launch a mobile money transfer service known as Zap, which is expected to be used across Africa and the Middle East.

The pilot project will roll out in Madagascar, Kenya, Tanzania and Uganda and will replace Sokotele, Zain's previous money transfer service that proved unsuccessful.

"Zain is addressing issues with the regulators and central banks in the region; we hope the process will result in benchmark standards for the sector since the mobile money transfer service is already being offered in some countries," said Zain Africa CEO Chris Gabriel.

Though Safaricom's M-PESA has offered opportunities for standardization, the Central Bank of Kenya and the Communications Commission of Kenya were locked in a debate over who should actually regulate the service.

Acting Finance Minister John Michuki indicated last week that the Central Bank will present a bill to Parliament in order to regulate the money transfer market.