Gerehu to trial cashless system

 NATIONAL Capital District Governor Powes Parkop has signed a joint agreement with the United Nations Women and Nationwide Microbank to implement a pilot mobile money and bill-paying system into one of Port Moresby’s markets.

 The system’s introduction in Gerehu Market is timely to help reduce cash flow in the area and subsequent crime and violence in Port Moresby’s market places.

Parkop, Dr Jeffrey Buchanan, the UN Women’s country programme manager and Tony Westaway, managing director of Nationwide Microbank, signed an agreement yesterday to set up the pilot system in the recently renovated Gerehu Market, with the intention of rolling the scheme out to other markets managed by the NCD Commission. 

“This initiative is revolutionary for all involved; it’s a win-win situation,” Parkop said.

“The vendors are provided a safer environment and access to services, NCDC will benefit in more efficient revenue. We’re all moving forward together.”

The mobile money and bill-paying system – known as MiCash – acts as a mobile wallet operating on mobile phones.

 Registered market vendors can deposit cash into their mobile wallets with a mobile money agent, then each day the vendor can pay market-user fee through the bill-paying system linked to their mobile wallets. 

The mobile system allows for a more transparent and efficient management of fees collection as they are transferred directly to NCDC, allowing not only a reduction in extortion of vendors but the ability for all market revenue to be traceable for reinvestment into market maintenance. 

In a recent scoping study conducted by UN Women, a number of issues were identified as contributing factors towards the high levels of crime and violence in market places. 

“Vendors, who in the vast majority are women who may have larger amounts of cash on them after finishing their sales, are at risk of being robbed,”  the UN report states.

Alethia Jimenez, Safe Cities programme team leader, said: “A reduction in cash circulating around the markets could potentially lead to a reduction in crime and harassment experienced by vendors.

 “If there is less physical cash in an area, the likelihood of opportunistic crimes/abuses is significantly cut down. 

“How can you grab and run with a day’s takings if it’s all stored electronically?”

The new system will allow vendors to access a formal bank account and other financial services such as insurance and loans. 

Westaway spoke of the bank’s dedication to provide these services.

“Nationwide is committed to empowering women and grassroots people generally through financial literacy training and access to its products and services,” he said.

A preparatory week from May 27 to 31 will take place at Gerehu Market where vendors will be registered and trained on how to utilise the MiCash system. 

The system is scheduled to be launched on June 3.