MasterCard has secured a contract from the Kenyan government to rollout smart cards to pay for state services and disburse funds to wananchi.
MasterCard will carry out the project in collaboration with Equity Bank, Commercial Bank of Africa, KCB Group and Diamond Trust Bank, allafrica.com reported.
The four banks will be responsible for distributing the Huduma Card, ensuring its uptake, as well as will bear the project expenses.
The Huduma Card will enable all government payment services to be done via a digital platform.
Kenyans using the new card will be automatically enrolled in key government services including the National Social Security Fund, National Hospital Insurance Fund.
Besides, the card will be integrated with the Kenya Revenue Authority to facilitate issuance of PIN numbers and seamless tax payment.
The new card, slated to be launched later in 2015, will be available at all Huduma Centres across the country.
The programme will integrate all services provided through the centres offering cash payment for government services.
Ministry of Devolution and Planning Cabinet Secretary Anne Waiguru said that the government will disburse its social payments through the new cards.
"Uwezo Fund beneficiaries, Youth and Women Funds disbursements, National Youth Service, Social welfare government cash transfers to families, government food subsidies, hunger safety net cash transfers and cash transfers to orphaned children will be disbursed through the cards," Waiguru was quoted as saying by allafrica.com.