What You Need to Know
Quthing district has closed 23 of its 30 cash pay-points for elderly pension grants, transitioning to digital payments via Mpesa and Eco-cash. Over 4,800 beneficiaries have enrolled since September 2024, with plans to fully transition remaining pensioners by the end of the financial year. This move aims to enhance security and accessibility for the elderly.
Africa-Press – Lesotho. At least 23 of the 30 cash pay-points in Quthing district for the elderly pension grant under the Department of Gender, Youth and Social Development have been closed following the successful rollout of digital payments through Mpesa and Eco-cash.
District Manager in Department of Gender, Youth and Social Development Mrs. ’Masealimo Tjotjela told the Agency in an interview that the closure comes after more than 4,800 elderly beneficiaries across seven councils have been successfully enrolled in the mobile money system since its introduction in September 2024.
Mrs. Tjotjela explained that the district’s target is to ensure that by the end of this financial year, the remaining over 1000 pensioners who still receive cash pay-outs are transitioned to digital payments, achieving full coverage.
Mrs. Tjotjela highlighted that mobile money services eliminate the need for elderly people to travel with large sums of cash, protecting them from crime and exploitation.
She added that the system also benefits rural residents with limited access to banks and the formal financial system, opening opportunities for savings and insurance.
According to the District Manager, digital payments reduce the costs associated with cash distribution, ensuring that beneficiaries receive their monthly grants quickly and predictably.
“The system also addresses challenges faced by pensioners who previously had to travel long distances in harsh weather conditions to collect their money”, she said.
However, Mrs. Tjotjela acknowledged that limited merchant acceptance of digital payments in rural areas remains a challenge.
She emphasized that though the transition has some difficulties, these will be addressed over time.
Quthing district serves more than 5,800 elderly beneficiaries under the Ministry of Social Development’s pension grant programme. The pensioners are from six councils of the district namely Mphaki, Telle, Tosing, Mjanyane, Qomoqomong and Quthing Urban, and Ketane in Mohale’s Hoek district.
The shift to digital payments in Quthing district reflects a broader trend in Lesotho towards modernizing financial services, particularly for vulnerable populations. The introduction of mobile money systems like Mpesa and Eco-cash aims to improve access to financial resources for those in rural areas, where traditional banking services are often limited. This transition is crucial for enhancing the safety and convenience of pension disbursements, especially for the elderly who may face challenges in accessing cash pay-points.
Historically, many elderly individuals in Lesotho have had to travel long distances to collect their pensions, often facing harsh weather conditions and potential for
