PARIS — Cellphones and rising connectivity in Africa will give rise to a new market in mobile financial services, creating explosive opportunities for business on the continent, according to research.The Boston Consulting Group (BCG) estimates that in three years, 250-million Africans without access to traditional banking services "will have mobile phones and a monthly income of at least $500". That could translate to projected revenues of $1.5bn from mobile financial services, it says in a report released on Tuesday.It is key for a continent where the banking system is hugely underdeveloped. A mere 25% of Africans have a regular bank account. But strides have already been made in mobile banking. In Kenya, for example, the mobile money system has nearly 18-million users, thanks to the M-Pesa service. In Ethiopia, cellphones are now being used to push an electronic payment service called M-Birr.Sub-Saharan Africa leads the world in mobile money accounts, according to the World Bank. ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.