Microfinance Focus, January 30, 2012: RedCloud Technologies together with microfinance investment company BlueOrchard has completed a $1.2 million investment in Bolivia’s mobile money platform, Nube Roja, that is being built to bring financial services to some 6.5 million people.

Corporación de Fomento a Iniciativas Económicas S.L, (CONFIE) Fundación para el Desarrollo Productivo y Financiero (PROFIN) and Iceni Mobile Ltd are other partners in the investment.

Supported by Banco FIE and a leading MNO (Mobile Network Operator), the service is expected to be live in Q2 2012.

Speaking at a launch the co-founder of RedCloud Technology  Justin Floyd said that “the service is  targeting customers who want to use their mobile for a range of financial services including domestic remittances, salary disbursements, as well as MFI’s who distribute loans”.

Using the I2S platform developed by the team of M-Pesa, customers will not have to go to the bank to send remittances, pay loans, or check their balances. They will be able to do it on their phone.

Mr Floyd continued to say that “We want to ensure that no Bolivian is locked out of accessing basic banking services. This is in line with our mission to offer inclusive; customer focused financial services that socially and economically empower our clients and other stakeholders.”

Stefan Fischer, Investment Manager of BlueOrchard also commented “We are proud to team up with RedCloud to bring the next generation of financial products and services to emerging markets”.

With only 25 % of the population having used a commercial bank and with mobile penetration standing at over 50%, the Bolivian market is now ready for the mobile money concept to take off.

Commencing shortly, the pilot will see hundreds of users taking part in a 12 week trial to test cash in, cash out, airtime top up, person-to-person transfer services, and remittances.

RedCloud is currently working on a number of other mobile money platforms planned for release across continents including EMEA, South America, Africa and India.