Mobile phones give a Fast track to financial activities in Sub-Saharan Africa

In sub-Saharan Africa, many customers face significant barriers to accessing financial services on mobile phones. According to the report “Financial services for everyone,” written by Ericsson ConsumerLab, in sub-Saharan Africa, more than half of consumers use mobile money services through a third party. Four in ten do not meet the basic requirements to have an independent access, either because they do not have the required form of ID or because they do not own a mobile phone. Other people do not know any of these services or they believe these processes are too complicated.

The report was compiled from a survey conducted in July and October 2015 on a group of 6215 people aged 17 to 59, taken in a population of 150 million people of Angola, the Republic Democratic of Congo, Ghana, Nigeria and Uganda.

According to the study, 63% of adults in this region have no bank account. Yet, money is the main way to make payments, to spend, save or borrow. Since there are more mobile phones than bank accounts, mobile financial services offer a natural stepping stone to financial inclusion. But according to the report, consumers still know the risk of theft.

Consumers need to travel long distances in order to pay their bills. To save money or to negotiate a loan also becomes problematic. Also, mobile money is really beneficial in Africa. People with low incomes or unbanked are the least involved in the traditional financial system, because of the distance factors, lack of education, or capacity deficiency authentication of identity. Many (52%) turn to third parties to access financial mobile services. See also

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