Report shows Nigeria’s impressive mobile money performance
According to recent research, there has been a 41% increase in the number of registered agents for mobile money transfers in Nigeria. The Bill & Belinda Gates Foundation helped the GSM Association (GSMA) put up the State of the Industry on Mobile Money Report 2023.
“Some of the key contributors to the growth of mobile money in the past few years have been regulatory changes in large markets. In Nigeria, for example, new licenses have seen many new mobile money players emerge, and with this a 41% growth in the number of registered agents,” the Director-General of GSMA, Mats Granryd, said.
Mobile money account ownership has increased from 16% to 22% among all adults in Nigeria who are aware of it and have used a mobile phone in the last year. In 88% of all adult users of mobile money, the account is registered in the user’s name (a nine percentage point rise year over year). So says the report.
Globally registered mobile money accounts increased from 1.4 billion in 2021 to 1.6 billion in 2022, a 13% year-over-year increase, according to the statistics. However, a large portion of this expansion took place in Sub-Saharan Africa, where there has been a 17% rise in registered accounts, bringing the region’s user base to 763 million.
Beyond users, Mobile Money’s ability to enable financial transactions saw a significant increase throughout the time period under consideration. The paper states that transaction values increased from around $1 trillion in 2021 to $1.26 trillion, a 22% increase.
The paper also discussed the ways in which mobile money platforms enable consumers to save money. About 60% of MMPs provided consumers with a savings account in 2022. In 2021, just half of these companies offered a savings product.
According to the World Bank Global Findex 2021, 39% of all mobile money account holders in Sub-Saharan Africa, or 15% of adults, saved using a mobile money account.
“While there is a lot more work to be done in this space, this is a hugely positive advancement when women have access to mobile phones and mobile money, they can increase their economic independence and strengthen their role as financial decision-makers.” Mats Granryd said.
“Mobile money is driving financial inclusion around the world. As it continues to grow, it offers an incredible opportunity to reach the 1.4 billion people who still do not have access to financial services,” he added.
According to the report, mobile money was also used more frequently for international remittance payments. International remittances made possible by mobile money increased by 28% year over year.
Despite the fact that women are 28% less likely than males to possess a mobile money account in low- and middle-income nations, the survey has some encouraging findings. According to the survey, mobile money is helping women and others with modest incomes become more financially included in many emerging nations. More women than ever before have a mobile money account, and they use it at a rate that is comparable to males over the course of a 30-day period.
