Great, informative article from the team at CGAP outlining the ten things you need to know about mobile money.
“Innovative microfinance models are still emerging: While we have not seen MFIs or their customers driving the development of a successful mobile banking system, the opportunity for MFIs in markets with thriving mobile payment systems is clear. Faulu, KWFT and SMEP in Kenya are examples of deposit taking MFIs that are leveraging M-Pesa for loan repayments, savings mobilization and even loan disbursements. Beyond traditional MFIs leveraging mobile banking, questions remain in terms of whether fully cashless but still relationship-based models like Musoni will be able to scale, or whether those models that leverage technology to replace costly human interaction will be able to provide the quality of financial services that customers are after.”
Read the full article here.