MTN Uganda said it was not asking Parliament to scrap the tax on mobile money withdrawals entirely, but instead urged a reduction to 0.25 per cent and a cap of Shs5,000 per transaction.
Dennis Kakonge told Parliament’s Finance Committee that a lower rate would still allow government to raise revenue while encouraging higher transaction volumes, which he argued would make the tax more sustainable for both users and the market.
📸 Courtesy photo
Therefore, dear @mtnug and @Airtel_Ug, aim for more clients taking on the cashless option by finding a balance on the charges (do "cocacola" pricing of cheap on large scale pdn) rather than expensive for a few, who are unsubscribing. Mpesa is thriving, kindly copy and paste!
Over the last couple of months, I’ve visited several different businesses that have completely abandoned using Momo and merchant services for payments because they claim it doesn’t benefit them financially. It’s one sided.
And I agree. The platform until recently used to offer clients the convenience of making payments without being charged yet when the merchant decides to withdraw that money, he’s charged like the normal Mobile Money Fees. This made them change back to normal Mobile money and ask clients to add withdraw fees.
I mean if we are to promote a cashless economy, we need to find a balance. Where we both benefit.
A close friend who operates a Spa once told me they lost about 800k UGX in withdrawal fees alone. And that to me isn’t business. A whole 800k that would pay for a bill all gone to a one telecom.
When I called one telecom they said they designed the product for merchant to merchant transactions and not withdraw as many prefer to do it.
Unless things changed or change, we are still lagging behind other East African countries. When it comes to cashless transactions.
That's because they are the business owners, job creators and corporate CEOs. The people who whine about regime change all day on social media are of 3 major categories (excluding politicians):
1. Jobless Gen Z. They know nothing about how the world works and are therefore naively idealistic.
2. Entry level company employees in their 30s and below who are employed by those same middle aged people but have no idea how their bosses get the money and business deals that pay their salaries.
They think salary just magically appears on their account out of thin air without appreciating the gymnastics their bosses have to do, and rules they have to bend, the networks and relationships they have to form, and yes, the bribes/kickbacks they have to pay, to find that money to pay salaries in this donor funded non existent banana republic economy.
3. Activists and NGO workers who earn a living by receiving funds from foreign donors, thus they are insulated from the market dynamics that drive this economy. They can therefore afford to be idealistic. They earn a living begging donors for money to host useless workshops, not hustling on the streets like everyone else.
You cannot meaningfully operate any medium to large sized business in Uganda without patronage of the state. You have to befriend government people for access to opportunities, to get meaningful contracts and also try and be on good terms with the regulators and tax authorities to survive closure and/or penalties due to difficulties with compliance.
When you have 20 or more employees you cannot afford to be running your mouth about the government. That's easy to do when you are unemployed and have nothing to lose, or are funded by donors, or living in exile.
I'm not saying this is how it should be. But it is how it is.
Even if you may want regime change or new government, as a business owner, you can't be too aggressive about it or else you'll potentially be locked out of the economy. Unfortunately. These are the risks any business owner has to consider before deciding to be publicly vocal about about his or her disdain of the government.
You may want to call them regime apologists, but, guess what, they are the ones paying you the salary that allows you to buy an Android phone, buy data, and go on the Internet to abuse the government 😄
🚨🗣 Gabriel Agbonlahor on Bruno Fernandes:
"I'm scared to think where Manchester United would have been over the last 5 years, especially this season without Bruno Fernandes, no matter how bad they've been, he's turned up"
"But, he's 32 in September, he's won one FA cup and one league cup for Manchester United. Could he leave Manchester United one day and look back and say, Did I waste my best years at Manchester United?"
[@talkSPORT]