Polokwane – The South African Post Office (Sapo) launched the roll-out in Limpopo of a new cashless ATM provided by Sapo in Ga Molepo at Polokwane on Friday.
"The cashless ATM helps decongest current payment points (post office branches, ATMs and retail merchants) by increasing Sassa (SA Social Security Agency) grants access points and thus assists government’s social distancing requirements in light of the Covid-19 (coronavirus) pandemic,” Sapo board board chairperson Colleen Makhubele said following the launch.
Capricorn Municipality major John Mpe said the new system would stimulate local economic activity as Sassa beneficiaries would spend their grant money at merchants within their localities, and would assist beneficiaries to "stretch the rand value" of each social grant disbursement because they would no longer have to travel to reach grants payments access points."
Polokwane was proud to be the first place where the service was available, and he was pleased about the benefits the cashless ATM bought to the most vulnerable citizens by reducing the need for travelling and by offering Sassa beneficiaries an additional channel at grassroots level to access their grants, Mpe said.
Sapo said the system would also help curb the spread of Covid-19 by reducing queues and cash grant payments. The cashless ATM issued a voucher, which the beneficiary could exchange for cash or goods at the local trader, including informal shops.
The post office intended to install 10 000 cashless ATMs at traders' stores around South Africa. Bringing financial services to the people was one of the most important goals of the post office.
“We are proud to announce a product that takes South Africans one step further away from cash and which will benefit local economies. Moreover, it enables the vulnerable members of society to make the absolute most of their grant,” Makhubele said.
Traders interested in hosting a cashless ATM could send an email to [email protected] for more information, the statement said.