StanChart to serve Chinese card

A local bank is set to reap from the increasing presence of Chinese in Kenya, after it partnered with a China-based card merchant to provide Chinese in Kenya access to their money.

The partnership between Standard Chartered bank and China Unionpay will allow Unionpay card holders to withdraw cash in local currency and perform account inquiries at any StanChart ATM.

“This latest deal by Standard Chartered is yet another demonstration of the importance the bank is affixing to the growing Africa-China trade corridor,” reads a statement sent to media houses.

The service is available across Africa, Asia and the Middle East. In Africa, it is available in Kenya, Zambia, Gambia, Uganda and Botswana, with a promise to roll out in the rest of the continent.

China Unionpay (CUP) is a bankcard association established under the approval of the State Council and the People’s Bank of China.

With a heavily regulated market, the China Unionpay card does what Visa and MasterCard do in other markets — helping to transfer money or pay bills with no tie-in to specific institutions.

By bringing the card to Africa, StanChart aims to take advantage of the increasing Chinese trade and investment in Africa, with the trade corridor estimated to be worth over $80 billion (Sh6 trillion) in 2009.

The trade is skewed in China’s favour. “The emergence of China and India as economic powerhouses has changed the dynamics of existing and new trade corridor,” said Kenya’s StanChart CEO Richard Etemesi.