M-Banking on African financial revolution

Abstract

Mobile phones leapfrog the infrastructure barriers in remote and rural areas in Africa. The phone can be the location for a banking account, hold all the financial information, and be used as the primary security measure. People can now buy online, via swipe points in retail outlets, and mobile-to-mobile, using their mobile handsets as payment method, confirmation of identity, and security filter. M-banking presents a wealth of new opportunities for retailers, vendors, and new financial service providers, such as telecommunication companies and airtime merchants. The UN Economic Commission for Africa (UNECA) and Industry Canada under the framework of ePol-Net and with support from the Canada Fund for Africa, launched a study in Senegal, Kenya, and South Africa to examine m-banking in a more traditional sense, to examine innovative solutions to assist poor people, and to explore emerging m-commerce applications being developed by non-financial companies. The study assesses the...