By Laurent Arribe
Mobile banking has become all the rage. Over 110 money mobile systems have been created across the globe with more than 40 million users. Ever since the technology’s introduction in the mid-2000s, its take-up rate has soared as lower income populations gained access to a banking savings system.
The expected benefits from mobile distribution and banking include lower costs and greater privacy. Especially in resource poor settings, low transaction amounts for informal money transfer were over 30 percent less expensive than informal money transfer options. They also drastically increased savings rates and even reduced the risks robbing. As apparent benefits accrued, development practitioners took notice and new applications began taking place.