Absa Bank Kenya has launched a Buy Now, Pay Later product dubbed ‘Buy Now Lipa Pole Pole’ for its credit card customers. According to the bank, this product is expected to help customers manage their expenses better.
Buy Now Lipa Pole Pole, is a self-service payment option on the Absa mobile and internet banking platform. It enables customers to spread the cost of their purchases over time. One has the option to either pay for their purchases in full, immediately or in a structured repayment plan over a defined period between three to 12 months, thereby stretching their spending power.
Head of Card Payments at Absa Bank Kenya, Linda Kimani, said, “Given the prevailing economic environment in which many consumers are having to make tough spending decisions, we understand the growing need to manage one’s expenses and make purchases without straining one’s wallet. That’s why we’re excited to launch our BNPL card feature, which gives our customers the power and ease they need to pay for their purchases flexibly over time. By incorporating BNPL payments into their budgeting strategy, customers have more room to manage expenses such as payment of school fees or booking for holiday travel while maintaining a healthy financial outlook. We expect that the feature will give our customers more cash on hand and therefore more control over their finances, helping them to get things done,” added Linda.
According to data from the Central Bank of Kenya, the number of card-based transactions recorded as of March 2023 topped 5,669,185, denoting a 5.3 percent increase compared to the number of transactions recorded in February 2023. This is an indicator of the growing attractiveness of the convenience of the card payment option.