I&M Bank’s FX Flash Deal bets on app-first forex for the festive season

I&M Bank is offering customers discounted exchange rates (FX) through its I&M OTG app throughout November. The campaign targets the festive-season spike in demand for foreign currency for travel, shopping, school fees abroad and supplier payments.

Under the FX Flash Deal campaign, customers can buy foreign currency at promotional rates during fixed windows every Tuesday and Friday, from 10am to 1pm.

“The gap we are addressing is the cost of accessing foreign currency at the very time customers need it most,” Henry M. Kirimania, Director of Global Markets at I&M Bank told TechTrends Media.

He said the campaign is timed for the period when many customers need foreign currency for holiday travel and accommodation, shopping, foreign currency bills or school fees for students abroad. Customers can also use the rates to set aside foreign currency for future use.

Kirimania said the bank chose time-limited windows rather than a standing preferential rate because the discounts are well below its standard pricing.

“The rates offered during FX Flash Deal windows are heavily discounted, well below our standard pricing, so they are designed as an exclusive, limited-time offer rather than an everyday rate,” he said. The fixed schedule also gives customers predictable times to plan their purchases.

Timing matters. A transaction must be confirmed and submitted before the window closes at 1pm to get the promotional rate. Anything completed after that, even if started earlier, is processed at the bank’s standard rate.

“Timing is everything,” Kirimania said. “Customers should plan their foreign currency needs around these windows and complete their transactions before 1pm to secure the discounted rate.”

The offer is open to all I&M customers who transact on the app. New customers can also take part by downloading the app and opening an account entirely online, without visiting a branch.

Thirteen currencies are on offer: the US dollar, British pound, Swiss franc, South African rand, Canadian and Australian dollars, Indian rupee, Chinese yuan, UAE dirham, Mauritian rupee, and the Ugandan, Tanzanian and Rwandan shillings.

The minimum transaction is one unit of the currency being bought. Remittances above the equivalent of US$10,000 still require supporting documentation under Central Bank of Kenya foreign exchange guidelines.

To transact, customers log in, select an account and tap the “Forex” button to open the currency converter. They then enter the amount, choose a currency and view the discounted rate and converted amount on screen before deciding where the funds go. The money can be credited to an I&M account or sent to a beneficiary at another bank. Transactions are authorised with a PIN and processed immediately, with confirmation in the app and by SMS.

Relief for SMEs and importers

Kirimania said the campaign gives small businesses and importers a chance to cut their foreign exchange costs as they restock for the festive season.

“Businesses with regular foreign currency needs can plan around them, for example by timing supplier payments or building foreign currency balances ahead of upcoming orders,” he said. “These savings can help ease pressure on margins and working capital.”

The campaign builds on I&M’s shift to digital banking. The bank reported earlier this year that 98% of its customers now transact digitally, through mobile, USSD or web channels.

On security, Kirimania said buying foreign currency on the app is safer than withdrawing and carrying large amounts of cash to a branch or bureau. The app uses multiple layers of encryption, every transaction requires a PIN, and the in-app and SMS confirmations help customers quickly spot and report anything they did not authorise.

He said the bank uses data on customer behaviour and transaction trends to design offers around when and how customers need foreign currency, while the app shows rates upfront “so there are no surprises”.

The I&M Bank’s FX Flash Deal is currently set to run until the end of November. Kirimania said I&M will review uptake and customer feedback and may extend it into December to cover the peak of the festive season. The bank is also developing further digital FX products.

“Our aim is to give customers pricing they can see, understand and trust,” he said.

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