Mobile Money and Mobile Banking are viewed under the same umbrella and are currently encapsulated in a financial world which is either too complicated or is viewed as complicated. Mobile money requires phone number as account number while Mobile banking requires bank account number as primary transaction identity. As far as Mobile Money and Mobile Banking are concerned
A well-functioning infrastructure for domestic payments plays a crucial role in minimizing the expenses associated with remittance services, particularly in nations that receive them. Access to financial services for individuals includes remittances. An effective remittance offering can enhance the immediate benefits and lead to better access to financial services in the future. It can also stir up rivalry among providers and shift transactions towards official channels. ..
Fortunately, the rest of the payment industry players who were not part of the initial painful experiments have the unique opportunity to learn and gamify the industry and experience. Growing pains and avoid making the same costly mistakes is the key to win. Making one mistake could make them miss the opportunity to convert an occasional customer into a regular, loyal customer.
Technological innovations have made certain aspects of our daily lives that much easier. The advent of mobile money has awarded those who were previously unable to conduct monetary transactions an easy and affordable alternative to traditional bank accounts. Mobile Payment services may or may not link to your mobile wallet or directly to your bank account.
The over-busy pace of change in payment systems – Paper, Online, Plastic, Mobile, eWallets, NFC stickers and Smartwatches, Facebook, Google Wallet, Microsoft; and and and ….. many many more; means that all businesses need to remain alert to the latest trends and developments. They and their customers will almost certainly start paying for goods and services in new ways now and in future. Innovations will continue new ways will continue to change and proliferate as time goes on. Payment is the transfer of an item of value from one party (such as a person or company) to another in exchange for the provision of goods, services, or both, or to fulfill a legal obligation.
For mobile “remote payments” the transaction is conducted over a telecommunication network such as GSM or the internet and can be made independent of the payee’s location and/or his/her equipment thus creating ease, convenience, and trust for end-customers (payers/consumers and beneficiaries/merchants). This concept is hereby regarded as critical for the further development of mobile payments.
By overcoming geographical barriers and leveraging local partnerships, this model not only facilitates transactions but also empowers communities economically. It has proven to be a catalyst for positive change, fostering entrepreneurship, education, and improved standards of living in regions where traditional banking infrastructure is limited. The success of this model underscores its adaptability and relevance across diverse socio-economic contexts.
From a financial inclusion perspective, mobile money services were essentially for unbanked and underprivileged customers, but due to the unavailability of a Ministry of Innovation as well as strong control from central banks, this got lots of support and attention, resulting in rapid growth for those providers who got the principles right, though the majority of such services failed (no offense to any, just referring to the statistics available across the globe on successful and vanished mobile money deployments).
Africa is the land of mobile money, and mobile is the most frequently used and widely accepted technological device of any other. Financial services are a key need for most people due to almost negligible banking penetration, and it makes sense to enable mobile devices with a set of financial tools and features as mobile handset penetration is more than 10 to 15 times higher than banking